Pound Surges Above 1.3500 as UK Economy Defies Energy Price Shocks

The British Pound (GBP) has been the best-performing major currency in August, breaking back above 1.3500 against the US Dollar.

MUFG's Lee Hardman attributes this gain to the UK economy's resilience in the face of energy price shocks triggered by the US-Iran conflict.

The UK economy expanded by 0.4% in Q2, following a 0.6% growth in Q1, thanks to strong private consumption, recovering business investment, and robust services and IT activity.