SGM-FX veteran Graham exhausted with trying to explain Brexit to his clients over the past 3 years has asked me for 3 examples of things that had taken less time to accomplish (NB accomplish….!) and here they are:
Building the Titanic( 2 ¼ years)
Flying the 35 million miles from Earth to Mars ( 10 months)
Building the Eiffel Tower (2 years)
Crude oil increased in price to the high of the year at $62.58 on the back of power cuts in Venezuela affecting output, reduction in supply from Saudi Arabia and lower US production. News in that China and the US have resolved most issues in the way of a trade deal sent Asian stock markets higher. US Treasury bond yields rose to 2.5%. The USD weakened marginally against all currencies and the EUR index strengthened 0.2%. GBP weakened initially on further uncertainty and Theresa May agreeing to meet Jeremy Corbin to try and find a way through the impasse. The European response? A NoDeal Brexit is more likely than THAT making progress. Gold little changed at $1292.
Discussion and Analysis by Humphrey Percy, Chairman and Founder
Weren’t Tariffs USD Negative? The Dollar proved sensitive to headlines regarding trade during the US overnight session. However, contrary to what many commentaries would have you believe, as the risk of tariffs escalated the Dollar rose. The 90-day pause following Trump’s April ‘liberation day’ tariffs had been set to expire this coming Wednesday. To the […]
Weak foundations After a rally of around 15% year to date, there is significant cognitive and technical room for consolidation within EURUSD. Implied volatility has been rising given the macroeconomic backdrop that markets have encountered this year. Even within such an environment, a 15% rally in the market’s most traded instrument is still enormous. But […]
Dollar Reserves With the passing of Trump’s original deadline for the reimposition of liberation day tariffs yesterday, markets have breathed a sigh of relief. July VIX futures continued to slide lower. Moreover, what may surprise anyone who had been expecting the issue of tariffs to resurface following the passing of Trump’s new deadline, so too […]