Investing.com – As expected, growth in the U.K. economy in the second quarter (Q2) went unrevised, according to the second estimate released on Friday.
In a report, the Office for National Statistics said gross domestic product (GDP) expanded by a seasonally adjusted 0.6% in the second quarter, unchanged in this second estimate and in line with expectations. The U.K.’s economy grew by 0.4% in the preceding quarter.
Year-over-year, U.K. economic growth grew 2.2% in the three months ended June 30, also in line with forecasts and unchanged from the prior estimate. The U.K. economy expanded at an annualized rate of 2.0% in the first quarter of 2016.
Meanwhile, business investment unexpectedly rose by a seasonally adjusted 0.5% in the second quarter, compared to the consensus forecast for drop of 0.8%. That followed a decline of 0.6% in the preceding quarter.
Year-on-year, business investment retreated 0.8% in the April to June period, compared to expectations of a 1.4% decline and the 0.6% drop registered in the first quarter of 2016.
Additionally, the index of services in the U.K. rose 0.5%, above consensus expectations for a 0.4% advance and after a prior gain of 0.3%.
Immediately following the report, GBP/USD was trading at 1.3218 from around 1.3216 ahead of the release of the data, EUR/GBP was at 0.8538 from 0.8542 earlier and GBP/JPY changed hands at 132.17 compared to the prior 132.79.
Furthermore, European stock markets traded slightly lower. London’s FTSE 100 slipped 0.10%, the benchmark Euro Stoxx 50 lost 0.30%, France's CAC 40 fell 0.27%, while Germany's DAX traded down 0.33%.