USD 2 Trillion Trade Deals
That is the total trade deal bag that POTUS Trump is credited admittedly by himself with snagging in his whirlwind Gulf trip this week. Many are puzzled and a few have attempted to tot up the value of the Saudi, UAE and Qatari deals, but no-one has succeeded in getting the total to USD 2 Trillion. But that is not in any way to decry what is clearly welcome and well overdue to the Gulf countries, which have felt economically neglected by the USA in recent years. It is, however, the sphere of job creation which sheds light on the US Administration’s approach to numbers – and their accuracy or otherwise: Boeing is thrilled, or more likely relieved this week, to have received an order for 210 passenger jets, which will earn them USD 96 billion over 7 years. That order alone it is claimed will create 1 million new US jobs. However, that 1 million is over the 7 year life of the contract which means that the actual number of new jobs is 154,000. Obviously not to be sniffed at, but equally not 1 million as it’s 154,000 per year or 1M over 7 years.
EUR/USD 1.1295.
E Gate Euphoria
PM Starmer’s transformational deal with the EU has been touted as one that will cast off the current shackles and discrimination, that sees queues of Brits waiting in line, while a bored and indifferent immigration official from one of the EU countries slowly turns each and every page of each UK passport. Except Cabinet Office Minister Pat McFadden puts it rather differently:… ”it’s up to the member states. But this gives us the possibility, I’d say the probability, that people will be able to use the e-gates in future, which is not a possibility at the moment,” The earliest that British travellers will be able to glide through the EU E gates is the autumn of this year and even that is open to question due to the necessary I.T. systems enhancements for the introduction of the EES or the European Entry Scheme still a glint in a developer’s eye.
GBP/USD 1.3402.