Economics class: Pound slides to weakest level since 2020 as British retail sales fall

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Specification:

• Exchange rates

Click to read the article below and then answer the questions:

Pound slides to weakest level since 2020 as British retail sales fall

• Explain how the exchange rate is determined

• With reference to the chart, compare the £:$ exchange rate during the period shown

• ‘Sterling initially plummeted on weak retail and consumer confidence figures.’ Using a diagram, analyse the impact of weak economic data on the exchange rate

• Despite the rapidly cooling economy, the Monetary Policy Committee is still likely to raise the bank rate next month. Using a diagram, analyse the impact on the exchange rate

Gavin Clarke, Emmanuel College