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GBPDespite benign risk conditions, a retreat in oil prices limited potential Sterling support. Foreign Secretary Jeremy Hunt commented that talks between the government and the Labour Party were more constructive than people think, allowing the Pound to make modest headway, although ranges were narrow as short term volatility continued to…
GBPSterling fared slightly better after global risk conditions improved during Friday, and oil prices increase added support. Shadow Chancellor John McDonnell commented that he was optimistic on cross-party Brexit talks producing a breakthrough and Chancellor Philip Hammond opined that a second EU referendum was likely to be put to parliament…
GBPThe Pound enjoyed a calmer day with subdued trading, no economic data and Brexit doldrum given the Article 50 extension until the end of October. Although the threat of a ‘no-deal’ exit has been eliminated, confirmed by Whitehall reports ordering staff wind-down prep, there were further concerns of economic damage…
GBPUK industrial production figures showed 0.6% growth in February beating modest forecasts of 0.1% growth, but the annual increase was slim, at 0.1%. Construction figures also beat forecasts, although the trade deficit was wider than expected. The data did add a little pep to the Pound although global moves tended…
GBPSterling spiked yesterday morning after rumours that the German government would propose a five-year time limit on the Northern Ireland backstop but Sterling surrender all gains as the rumours were swiftly denied. A lack of EU opposition to a Brexit extension did protect the Pound from a sustained sell-off, as…
GBPThe Pound had another day of political tension with reports emerging that Conservative Party MPs were discussing an indicative vote of no confidence in Theresa May’s leadership. Sterling did get a boost from further gains in oil prices and a firm tone in commodities, partly offsetting the Brexit woes. The…
GBPFriday saw Sterling fall to a three-day low as the market dissented to another Brexit extension after Theresa May wrote to the EU President requesting an exit date at the end of June. The PM believes that she can gather cross-party support around the “framework for a future relationship”. Donald…
GBPA lack of progress in solving the Brexit impasse ahead of the emergency EU Summit meeting next week left the markets uneasy, despite Wednesday’s vote reducing the perceived chances of a “no-deal”. The government continued discussions with the Labour Party and no breakthrough appeared it was also reported that a…
GBPUK PMI services-sector index failed to meet forecasts and printed the first contraction since July 2016 at 48.9. New orders declined for the third month on the bounce with political uncertainty shouldering the blame. Sterling lost some ground after the data but Brexit developments took precedence, limiting the impact. Bank…
GBPUK construction PMI bounced back from 39.5 to 49.7 in March but ultimately marks a second successive month in contraction. Commercial activity was undermined by Brexit, although business optimism rose modestly. The Pound dipped to near 1.3000 amid on-going fears over political deadlock but reports that Oliver Letwin and Yvette…