Previous Day's Market Highlights
Politics dominated last weeks major currency movements and has proved prominent in this week so far. After the dust settled from all 27 EU leaders approving the Prime Minister’s withdrawal agreement on Sunday, displaying some levels of promise for Sterling, the date for the next and final hurdle was set.
Chief Whip Julian Smith’s letter to MP’s issued yesterday, outlines the schedule for the UK Parliament’s meaningful vote, with debates commencing on December 4th, and finalising with the deciding vote on December 11th at around 7pm. The vote will mark the moment when British politicians decide whether to accept the divorce terms May has struck with the EU, or put the country on course to leave the bloc with no agreement in place. May has already launched a national campaign, embarking on a UK wide tour to win support for the agreement, beginning with more than 120 business chiefs at Downing Street yesterday, explaining details of the deal she sealed at the weekend with the EU, to then lobby their local MP’s.
With only two weeks until the vote, and the size of the opposition against the commonly described controversial deal, the odds are not stacked in favour of the pound. Trump stated the deal was great for the EU and could prevent a future trade deal between the US and UK. Euro strengthened on the US Dollar briefly due to reports of Italy considering altering their budget deficit, however the gain was short lived due to Italian bond yields rising, forcing Drahgi to make a statement addressing the economic slow down, that it may only be temporary.
|Currency Pairing||08:00 Today||Vs 08:00 Yesterday||Four-Week High||Four-Week Low||% Change|
Today's Market Highlights
The economic calendar is light today, with US data making up the majority of todays release. The first release is UK CBI Realised Sales scheduled out at 11:00 followed by the US Home price index due out at 14:00, largely expected to be down from the previous outcome, with markets being 80% priced in for a drop. Finally, US Consumer Confidence Survey date is due at 15:00.
All eyes will be focused on May’s campaign to encourage as many British politicians as possible to accept the withdrawal agreement, before debates commence in one week. The first stop is Northern Ireland, where May will sell her Brexit plan today to the Democratic Unionist Party, uniting behind leader Arlene Foster, who currently opposes to the deal.
Today's Economic Calendar
|11:00am||GBP||CBI Realised Sales||10||5|
|3:00pm||USD||CB Consumer Confidence||136.2||137.9|