• The Pound Sterling corrects further against the US Dollar after the release of the weaker-than-expected UK Retail Sales report for June.
• Doubts over the BoE to begin reducing interest rates from August remain afloat.
• The uncertainty over the US Presidential elections improves the safe-haven appeal of the US Dollar.

The Pound Sterling (GBP) extends its correction against majority of its peers in Friday’s London session. The British currency slides further as the United Kingdom (UK) Office for National Statistics (ONS) has reported weaker-than-expected Retail Sales data for June.

The report showed that monthly Retail Sales contracted at a faster pace of 1.2%. Economists estimated a decline by 0.4% against 2.9% growth in May. Annually, receipts at retail stores dipped by 0.2%, which were expected to have grown at a similar pace. Every retailer saw a sharp decline in sales receipts, except those who offers automotive fuel.

The Retail Sales data is a key measure of consumer spending, and a sharp decline in the same suggests that households struggle to bear the burden of higher interest rates by the Bank of England (BoE). However, individuals may not find any relief from higher interest obligations amid uncertainty over BoE rate cuts in August