• US trade policy remains one of the top three sources of uncertainty for UK businesses
  • But the share of firms seeing that to be the case is now down to 12% (previously 22%)
  • 70% of UK firms reported that changes to US trade policy would have no material impact on their business
  • Firms' expectations for year-ahead inflation unchanged at 3.2% in the three months to May
  • Firms' expected year-ahead wage growth now seen at 3.7%, down by 0.1% from before

The UK is one of the few countries to be least impacted from Trump tariffs, so it does explain the sentiment above of course. That said, stagflation worries remain the big threat for the UK economy at the moment - not least after the inflation jump in April here.

Source: Forex Live