Plain Sailing across the Channel:
This Brexit malarkey is a walk in the park! Well, that’s what the Secretary of State for Exiting the European Union, Dominic Raab MP, must be thinking! Largely coincidentally, since the departure of David Davis, news on Brexit has been overwhelmingly positive, providing a boost to Sterling: Barnier mentions a deal within 6-8 weeks; flexibility surrounding Irish Border proposals… And now, this morning, EU Commission President Jean-Claude Juncker says that he welcomes the UK Prime Minister’s Brexit proposals. Of little impact to markets yesterday, we also learned that Bank of England Governor, Dr. Mark Carney, will be staying at the Bank for an additional year, until 2020. With one day left until both the European Central Bank and the Bank of England publish their interest rate decisions, last minute positioning has been rife this morning. Interestingly, news of a potential merger between Commerzbank and Deutsche Bank saw the European single currency enjoy light support. Emerging markets remain flat this morning with short term support found across the board.
Discussion and Analysis by Charles Porter
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British pound Sterling finds itself in the limelight and trading at its recent highs as somewhat improbably a couple of bolder market commentators have suggested the UK will benefit as a result of the disaffection with the USA and the USD at present. Those commentators have obviously not been following the commentary about UK Chancellor […]
EU Inflation Paving the way for a 25bp rate cut tomorrow, EU inflation came in at 1.9% on the back of uncertainty, lack of consumer confidence and people sitting on their cash. So overall good on inflation but a sign of less good things in the EU. As ever, the overall inflation figure had some […]
UK Employment Real life consequences of policies that fulfil Chancellor Reeves’ agenda: this time we will not dwell on the plainly evident politics of envy stuff about targeting the higher earners, stuffing the non-doms, and even deciding to double tax those wishing to pay for private education or invest in property through second homes. This […]