Current Affairs
Prepare for the World Economy’s Most Important Week of the Year
This week could be the most important week of the year for the global economy according to Bank of America, as President Trump meets Kim Jong-un, MP’s vote on the Brexit bill along with the Fed, ECB and BoJ all meeting. STERLING Theresa May’s flagship Brexit legislation returns to the lower House of Commons after…
Read MoreBrexit negotiations hit roadblock over Irish border issue
STERLING Sterling traders were kept on their toes last week with a flurry of tier-one data releases and central bank rhetoric. The pound was already on the defensive following soft prints for UK wages, CPI and retail sales but lost further ground after comments from Bank of England Governor Carney on Friday. He noted that…
Read MoreTheresa May is stepping up plans to tackle the Irish border question in Brexit talks
STERLING Sterling struggled to sustain any upward momentum last week despite some positive Brexit headlines. Over the weekend, the Financial Times said Prime Minister Theresa May was planning a customs partnership to unlock the Northern Ireland dilemma although we are yet to see anything concrete. PMI surveys could steal the spotlight this week, as investors…
Read MoreUS Interest Rate Hike
Minutes from the FOMC’s November meeting showed a strengthening case to raise interest rates, with some members saying a hike should happen at the year’s final meeting, on December 13th-14th. The summary of the meeting, only a week before the US election, provides the clearest signal yet that the Fed plans to lift rates for…
Read MoreAutumn Statement Key Points
In his first Autumn Statement, Chancellor Phillip Hammond stated that he ‘’is focused on preparing and supporting the economy as we begin writing a new chapter in our country’s history’’. This will be the last Autumn Statement. The Budget will now be in the Autumn, incorporating a Spring statement. According to the Chancellor, Britain will be…
Read MoreBrexit – What it means for the future of currency exchange
Overview: Sterling’s dramatic depreciation post-Brexit has hindered the UK’s importers to keep prices competitive, with the fall now forcing them to either hike prices, in some cases by over 10%, or share the increase with their buyers and reduce their profit margins. The political risk surrounding the triggering of Article 50 is anchoring Sterling’s potential…
Read MoreUS Presidential Election
President-elect Donald Trump defeated Hillary Clinton in part by building a coalition of voters who had not supported Republican candidates as enthusiastically in the past. Trump won huge numbers of votes in counties with low annual incomes – over 51% of the vote in those counties, surpassing Clinton by nine points. These votes were won…
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