A strong Sterling is bad for the UK production/export sector – but good for the tourism/import sector.
In other words, given that tourism is still quite low (especially from the EU, partly due to the Brexit divorce), it’s good mostly for British consumers who fancy European wares – but UK industry/production would surely rather want a weaker £ in the months to come. And from what I’ve read it’s the producers relying on exports who are already suffering the most in the UK right now. This will not do them any good – they don’t give a tosh about imports and tourism.
Complex situation, but a strong currency hurts export more often than not. In other words this is not necessarily a win for the Brexiteers, even though they very well might want to make it seem so.
As to be expected, UK had a much larger fiscal stimulus.
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Chirp
They getting a pounding
A strong Sterling is bad for the UK production/export sector – but good for the tourism/import sector.
In other words, given that tourism is still quite low (especially from the EU, partly due to the Brexit divorce), it’s good mostly for British consumers who fancy European wares – but UK industry/production would surely rather want a weaker £ in the months to come. And from what I’ve read it’s the producers relying on exports who are already suffering the most in the UK right now. This will not do them any good – they don’t give a tosh about imports and tourism.
Complex situation, but a strong currency hurts export more often than not. In other words this is not necessarily a win for the Brexiteers, even though they very well might want to make it seem so.
As to be expected, UK had a much larger fiscal stimulus.