//
Despite the pound sinking earlier in the week due to a cautious UK economic expansion report from Bank of England governor Mervyn King, a lack of further British data led Forex traders to focus on European results, reports Reuters.
And this meant German economic output for the second quarter of the year - which stood almost one per cent higher than predicted - helped sterling regain some of its earlier losses.
With GDP for the three-month period coming in at 2.2 per cent, the pound traded up 0.6 per cent on the day against the broadly weaker dollar, valued at $1.5660 by 08:37 BST.
The single European currency also slid against the British money, losing 0.1 per cent to sell at 82.24p.
At its worst, the pound lost 1.4 per cent on its value following the downgraded forecast for UK GDP earlier in the week.
Posted by Sara Secker
