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GBPBrexit rumours and reports slowed up yesterday but sources continued to suggest a Cabinet meeting might materialise on Monday. A potential sticking point would be EU insistence that the UK would have to accept a backstop with no escape clause or any future trade deal would demand lasting Customs Union…
GBPWednesday started well for the Pound with initial gains on further rumours that negotiators were close to reaching a Brexit deal. The recent gains did provide an opportunity for a correction and retreat from 1.3175 on the Dollar and a key technical level of 1.1467 against the Euro gave rise…
GBPSterling suffered an initial setback following comments from the Ulster Unionist Party; that a ‘no deal’ outcome looked likely, but losses were quickly regained. The UK Cabinet meeting is reported to have been positive and a further meeting will be called when a deal is ready to be agreed, potentially…
GBPUK Services PMI failed to meet forecasts with a print of 52.2 in October, the lowest figure since March, and new business growth increased at the slowest pace since July 2016. Sterling continued to fluctuate on Brexit headlines and sources suggested that the timeframe for an extraordinary EU Summit had…
GBPThe UK construction PMI for October beat expectations of 52 with a print of 53.2 based on gains made in civil engineering, although new orders growth slowed. The Pound gained modestly but there was persistent selling interest above 1.3000 against the Dollar. Overall UK sentiment held firm despite pressure for…
GBPPositive Brexit news triggered a Sterling rally across the board yesterday. The compounding effect of reports that UK financial services companies will have continued access to European markets and a Brexit Deal conclusion in November prompted some aggressive short-covering (buying Pounds to reverse bets against) in GBPUSD. The positive momentum…
GBPThe Pound started yesterday with an “oversold” sentiment which meant the 1.2700 mark against the Dollar wasn’t threatened, and initially made limited gains. UK Brexit Secretary Dominic Raab commented that he expects a Brexit deal to be agreed by November 21st which triggered a brief Sterling spike higher before Downing…
GBPUK CBI retail sales declined to 5 in October, down from September’s print of 23 and the sales volumes were the lowest since March. Despite expectations of a better reading in November, October’s consumer confidence component remained subdued. Sterling sentiment was hampered by economic doubts, Brexit uncertainty, and weaker oil…
GBPA fragile risk appetite prevented Sterling gaining ground on its peers on Friday, despite rating agency Fitch holding its UK credit rating at AA. Fitch again reported the UK outlook as negative, although it warned that Brexit risks had increased. A recovery in oil prices late in the day also…
GBPUK CBI industrial orders fell below forecasts at -6 for October from -1 previously, and indicating reduced order expectations in the manufacturing sector. Both domestic and overseas orders reduced sharply with strong evidence that Brexit uncertainty was undermining orders and investment which hit Sterling sentiment. Reports also surfaced of a…