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GBPMoving oil prices had a modest effect on the Pound yesterday but, as always, political considerations dominated trading. Donald Tusk set the cat amongst the pigeons less than 24 hours before Theresa May is due to formally request a renegotiation of the Brexit deal, reinforcing fears the deadlock will continue….
GBPUK services PMI dropped from 51.2 to 50.1, below consensus forecasts and the lowest print for 2.5 years. The new orders dipped into contraction territory. Employment figures printed a modest decline for the first time in over six years with political uncertainty contributing to negative effects. Sterling dropped lower, falling…
GBPUK construction PMI for January declined to 50.8 from 52.8, well below consensus forecasts and the lowest figure since last April. Commercial activity has been undermined by uncertainty but companies are still optimistic about the 2019 outlook. The Conservatives are still trying to find a compromised Brexit proposal and EU…
GBPUK manufacturing PMIs declined to 52.8 in January, the second-lowest reading since July 2016 and new orders growth was weak. Further aggressive stockpiling maintained concerns that growth would not be sustained. The Pound had already slipped and the data failed to trigger any rebound with further concerns that uncertainty would…
The impact on the Pound after yesterday evening’s parliamentary votes can best be summarised by the fact Goldman Sachs analysts have kept the probability of a delayed Brexit unchanged at 50% and cut probability of “no Brexit” to 35% from 40% i.e. a softer Brexit remains as likely as it…
GBPThe Brexit Select Committee reiterated that a ‘managed no-deal Brexit’ wouldn’t be a responsible policy for any government, and the Pound gained initially before suffering a price correction later in the day. The EU reiterated that there was no room to change the Withdrawal Agreement and the chances of the…
GBPThe Pound failed to attract more buying yesterday morning after Wednesday’s sharp gains created some pressure for a price correction. In parliament, there were renewed doubts that Labour would back amendments specifically ruling out calls for a second referendum. MPs were actively seeking backing for several amendments which would effectively…
GBPThe Pound held steady yesterday with investors swift to buy on dips in price. CBI industrial orders declined to -1 in January, down from 8 previously and confidence weakened at the fastest pace in 30 months. The Bank of England’s (BoE) Ben Broadbent offered some reassurance on household debt levels…
GBPUK unemployment fell to a 44-year low of 4.0% in the three months to December, beating the forecast of no change. Employment over the same period showed a robust 141,000 jobs added but there was also over 20,000 added to the jobless claimant count. Headline average earnings edged up to…
GBPSterling was hampered early on by political speculation ahead of the “Plan B” revelation but managed to claw back some ground on further speculation over efforts to resolve the Northern Ireland issue. Tough EU rhetoric limited potential gains and Sterling dipped to near 1.2830 against the Dollar and 1.1300 against…