British Pound attracts bids against Japanese Yen after strong UK Q2 GDP data
- The British Pound gains slightly against the Japanese Yen due to stronger-than-expected UK Q2 GDP data.
- UK GDP growth remained steady at 0.6% in the second quarter this year.
- Investors seek fresh cues regarding more US-Japan intervention to support the Yen.
The British Pound (GBP) attracts slight bids against the Japanese Yen (JPY) during the European trading session on Wednesday, following the release of the preliminary United Kingdom (UK) Q2 Gross Domestic Product (GDP) data.
The Office for National Statistics (ONS) has reported that the economy expanded at a steady pace of 0.6%, faster than estimates of 0.4%. On an annualized basis, the GDP growth also remained higher at 1.2% than the 1.1% estimates and the previous reading of 0.9%. In June, GDP growth was 0.3%, while it was expected to remain flat again.
Meanwhile, monthly Manufacturing and Industrial Production data also remained stronger than expectations. Manufacturing Production rose by 0.5%, while it was expected to decline by 0.2%. Industrial Production grew 0.2%, faster than 0.1% estimates.
Going forward, the British currency will be influenced by market expectations for the Bank of England’s (BoE) monetary policy outlook.
On the Tokyo front, the Japanese Yen trades broadly sideways as investors seek fresh cues from Japan’s Ministry of Finance (MoF) on whether there will be more United States (US)-Japan joint intervention to support the currency.
The US-Japan jointly intervened on the last day of July to counter “excessive volatility and disorderly movements in the Japanese yen in recent months", Japan MoF reported.
Economic Indicator
Gross Domestic Product (QoQ)
The Gross Domestic Product (GDP), released by the Office for National Statistics on a monthly and quarterly basis, is a measure of the total value of all goods and services produced in the UK during a given period. The GDP is considered as the main measure of UK economic activity. The QoQ reading compares economic activity in the reference quarter to the previous quarter. Generally, a rise in this indicator is bullish for the Pound Sterling (GBP), while a low reading is seen as bearish.
Read more.Last release: Thu Aug 13, 2026 06:00 (Prel)
Frequency: Quarterly
Actual: 0.6%
Consensus: 0.4%
Previous: 0.6%
Source: Office for National Statistics
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