(13 MAY 2020)DAILY MARKET BRIEF 2:the UK GDP surprises.

<p>Released this morning, the British production and growth data surprised to the upside. The industrial production slumped by 8.2% y-o-y in March versus 9.3% expected by analysts and the first quarter GDP contracted by 2% versus 2.5% penciled in. The pound shortly rebounded to 1.2280 as the fact that the poor data still beat market expectations, but gains lacked the necessary momentum to fight back the 50-day moving average resistance (1.23) on a rather blurred plan for business reopening in Britain and waning hopes of a satisfactory economic recovery in the coming months. In the UK, as elsewhere, a return to normality will take months, further ballooning the government debt and involving the central bank’s aid to make this debt absorbed by the market.</p>