Sterling strengthened on Friday as UK retail sales unexpectedly rose 0.5% in August, beating forecasts of a 0.2% decline. The pound gained 0.11% to 1.3373, reversing a 0.5% fall from July. Retail sales volumes were 2.4% higher than a year earlier, reaching their second-highest level since April 2022. Online sales values rose 2.5% on the month, recovering from a 4.2% July fall, and were 8.9% higher year-on-year. The online share of sales edged up to 28.8% from 28.4%. Total spending, combining in-store and online, rose 1.3% on the month. Fuel volumes fell as prices rose sharply.
The euro also gained 0.10% to 1.1487, with upside risks toward 1.140. The dollar index showed upside risks toward 157-160. ING does not see developments pushing Brent back below $100/bbl at this stage. Brent Oil Futures were listed at 103.11 (-1.63%), and Crude Oil WTI Futures at 100.43 (-1.45%).
The Federal Reserve's hawkish message and ECB policymaker Lagarde's speech later on Friday are expected to influence market sentiment. The article was published on 18/09/2026, 09:20.
