Pound falls sharply vs. aussie after GDP data

The pound fell sharply against the Australian dollar yesterday after the release of worse-than-expected revised GDP figures from the UK.

• The pound began weakening prior to the release of the GDP data, as falling equities dragged sterling lower.
  
• Sterling’s losses were exacerbated by the GDP figures, which revealed that Britain's economy contracted more sharply than previously estimated in the first quarter, with gross domestic product showing a quarterly decline of 2.4% compared with the previous estimate of a 1.9% decline.
  
• Sterling continued to lose ground against the Australian dollar overnight, after the aussie got a boost from the release of Australian retail sales figures, which rose for the third consecutive month in May.