SGM-FX insights

Ten Green Bottles   Yesterday’s first round contest for the new Conservative leader duly skittled 3 of the candidates whose supporters will now add their votes among the remaining 7 next week. Meanwhile further stories about one or more of the 7 are rumoured to be splashed in the weekend press. GBP rangebound depending on rhetoric from […]

Ready, Steady, Go!     Sterling markets yesterday were moved by the unfolding Conservative Party leadership contest, parliamentary developments as well as economic data releases. However, as with most days, the price action within Sterling’s currency pairs was largely determined by the consequences of the United Kingdom’s future relationship with the European Union. Boris Johnson, […]

Mexico and Markets   So the Mexican President and incidentally the market had it right and the US tariffs threatened for today have been shelved. This had been largely discounted as we wrote last week but still the Peso strengthened against the USD over the weekend.   Disappointing US employment figures on Friday have weakened […]

P.S. there’s a trade deal.     The U.S President, on official state visit to the United Kingdom, had a turbulent landing at Stansted airport yesterday. I’m sure air conditions were smooth over the north easterly runway, however, the President’s Twitter account had already brewed up a storm ahead of touch down. Fake news, vitriolic […]

Wide Ranges     Yesterday was a rough day in markets. Equities continued their tumble with key US indices producing price action that could suggest an imminent market correction. Amidst an intensification of the trade war masqueraded as threats of new Chinese economic weaponry, global bond yields continued to tumble. In a bid for safety, […]

UK Passports and US versus Europe   This may have passed you by but in case it has not: the UK is a member of the 6 month club which allows nationals of countries such as the UK to visit the USA with only the unexpired time necessary for the trip. Now for Europe: in […]

One May too many:   Surviving a third May proved to be too much for the British Prime Minister who, on Friday, announced her resignation in front of 10 Downing Street. Following a meeting with the chairman of the 1922 committee, she was left with no choice but to announce her defeat to the nation. Chosen […]

Elections:     India   PM Narendra Modi has been returned for a further 5 years with a resounding vote of confidence in his party the BJP. 600 million of the 900 million eligible votes have been counted and it points to 300 of the 543 seats going to the BJP. The Opposition Congress Party […]

PM May’s Gamble   GBP liked the idea of a second Referendum rumoured to be what PM May would announce yesterday afternoon. The actuality sent GBP lower. FTSE steady at 7328. Rather than give credence to the market rumour, PM May painted a picture with multiple and in many cases contradictory possible outcomes of not […]

Crunch Week   Time and time again, we’ve heard traders call the post-Brexit Pound Sterling ‘untradeable’. Even in times of apparent turmoil, realised volatility has remained relatively subdued with foreign exchange derivative markets confirming a lack of conviction amongst market participants with respect to Sterling’s expected movements. Typically, implied volatility remains dangerously elevated (measured by […]

Listen here to SGM-FX’s Charles Porter reviewing the morning’s papers with Talk Radio Business Breakfast host, James Max.   From Strictly to the Trade War; Billionaires to Brexit, find out what’s moving markets this morning.     Discussion and Analysis by Charles Porter Click Here to Subscribe to the SGM-FX Newsletter

Markets   With the news that the UK will hold EU Elections on 23-5-19, while discounted, GBP nevertheless sold off to close last night on the lows of the day. No news on a deal between the Government and the Opposition-yet. ZAR volatile in advance of the South African election today. Oil sharply lower at […]