Market reports
Sterling was fairly resilient last week in response to poor data releases
STERLING There were some worrying signs for the health of the UK economy last week, where service PMI fell well short of expectations. The Chief Economist at Markit warned that the UK economy had iced up in March, suffering the weakest increase in business activity since the Brexit vote. However, he did note that disruptions…
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 dollar fell last week in the wake of the FOMC policy decision
STERLING Sterling rose last week, boosted by positive Brexit developments after the EU Commission confirmed they had reached an agreement with the UK government on the terms of the transition period. The Bank of England rate decision on Thursday became the main focus after strong wage data and a 7-2 vote to leave the Bank…
Read MoreMarket News – Sterling climbs on Brexit transition deal hopes
STERLING News this morning has broken that the UK and EU have agreed a transition deal for Brexit up until the end of 2020, although the deal needs to be signed off from Michel Barnier and David Davis. The Pound has reacted well, making advances against most of its G10 peers. Sterling traders will be…
Read MoreMarket News – Trump Talks Tariffs
STERLING Sterling strengthened last week amid a flurry of Brexit talk although concrete progress was difficult to find. Reports towards the end of the week said UK officials do not see a Brexit deal until next year. EU officials meanwhile signalled that they are not willing to negotiate on issues such as trade until progress…
Read MoreMarket News – Road to Brexit
STERLING Sterling has begun the trading week with a minor bid tone. Brexit developments last week were less than supportive, and it has been reported over the weekend that the EU will be intentionally vague with its Brexit guidelines due for release tomorrow to force UK to explain what it wants from negotiations. Meanwhile, the…
Read MoreMarket News – Brexit uncertainty
STERLING Sterling was mixed last week although the bias was tilted to the upside. The currency jumped higher on Tuesday amid reports that the European Parliament is to call for Britain to have ‘privileged’ single market access after Brexit. Losses followed on Wednesday however after soft employment data and the leak of a government document…
Read MoreMarket News – UK inflation
STERLING Sterling was mixed last week. UK inflation data prompted a rally on Tuesday although gains soon dissipated as risk sentiment soured through the second half of the US session. Further gains were seen on Thursday amid reports that the EU had softened their Brexit transition stance. Losses followed on Friday meanwhile after UK retail…
Read MoreMarket News – 12 February 2018
STERLING Sterling was one of the weakest of the G10 currencies last week. The currency got off to a slow start after UK service PMI wrapped a trifecta of weaker-than-expected PMI releases. There was also chatter in the weekend press that UK Prime Minister Theresa May will face a possible coup. Focus then turned to…
Read MoreMarket News – 5 February 2018
STERLING Sterling was a touch softer on balance last week. Losses were seen on Friday after a notably soft reading for UK construction PMI which fell to a 4-month low at 50.2. The currency also dropped after EU officials said the EU Commission have rejected the City of London’s proposal to strike a post-Brexit free…
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