UK GDP Rose Only 0.7% in Q3

UK economic growth slowed in the three months to September, with the economy expanding by 0.7%, the Office for National Statistics said.

The figure was weaker than the 0.9% expansion recorded for the second quarter.

Economists had correctly predicted that the economy would expand by 0.7% in the July-to-September period.

Gross domestic product (GDP) was 3% higher in the three months than the same period in 2013.

The third quarter figure will raise concerns that the recovery will fall victim to the slowdown affecting the eurozone.

However, the UK still looked set to be the fastest-growing advanced economy this year.

Chancellor George Osborne said that growth in manufacturing and construction as well as services was very encouraging. “The UK is leading the pack in an increasingly uncertain global economy,” he added.

Shadow Chancellor Ed Balls said that the GDP figures revealed a concerning slowdown in economic growth. “Most people are still not feeling the recovery,” he said.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza