Earlier this week, data showed Germany barely escaped a recession in the second half of 2018 and European Central Bank chief Mario Draghi warned on Tuesday the euro zone economy was weaker than anticipated. "The dimmer outlook was acknowledged by outgoing ECB President Mario Draghi, a cautious tone that gave added traction to the euro’s slide from three-month highs," said Joe Manimbo, senior market analyst at Western Union. "Add it all up and it seems increasingly less likely that the ECB would be able to normalize monetary policy later this year." In Britain, May is widely expected to retain power in the confidence motion at 1900 GMT on Wednesday, called by opposition Labour Party leader Jeremy Corbyn after a crushing defeat of the prime minister's Brexit divorce deal in parliament on Tuesday.
The British pound is trading in a tight range on Wednesday after U.K. Prime Minister Theresa May’s Brexit deal was defeated in Parliament Tuesday and as lawmakers are debating a no-confidence motion against the government.
Bitcoin prices are trading marginally higher on Wednesday, continuing to oscillate either side of $3,500.
U.K. Prime Minister Theresa May’s Brexit deal is rejected in Parliament on Tuesday, leaving Britain with further uncertainty about how it will leave the European Union.
We’re looking for the sideways trade to continue until we see a clear shift in demand for higher risk assets. If risk is on then gold is likely to be pressured. If risk is off then gold will be supported.
Having failed to sustain 100-day SMA breakout, the EURUSD now rests around 50-day SMA level of 1.1380, breaking which nine-week old support-line, at 1.1320, and the 1.1260 can reappear on the chart. In case prices continue declining under 1.1260, the 1.1215 and the 61.8% FE level of 1.1080 may gain sellers’ attention. Meanwhile, the 1.1475 comprising 100-day SMA, followed by the 1.1550 & the 1.1570 could confine the pair’s near-term advances prior to challenging the 1.1610-25 region including 200-day SMA. If at all the pair manage to provide a daily closing beyond 1.1625, the ...
Proceedings in UK surrounding brexit and PM may continue to inspire caution in already weak European market plagues by political and economic woes which underpin demand for safe haven asset.
The pound steadied on Wednesday after having fallen late Tuesday when the U.K. parliament overwhelmingly voted down Prime Minister Theresa May's Brexit deal. The House of Commons voted 432-202 against May's deal, leaving uncertainty over the future of the country's plans to leave the EU on March 29. Bank of England Governor Mark Carney said the rebound suggested markets now see a "diminished" risk of a disorderly Brexit with no transitional arrangements.
The British pound, as expected, experienced a high volatility day on Tuesday. As the result, however, the currency avoided serious pressure, ending Tuesday’s near levels at the opening. During the day on Tuesday, the pressure on the pound increased, sending GBPUSD from 1.2850 to 1.2700.
The S&P; 500 rose 5 points, or 0.21%, as of 9:33 AM ET (14:33 GMT), while the Dow increased 80 points, or 0.34%, and the tech-heavy Nasdaq Composite gained 20 points, or 0.29%.
LONDON MARKETS London markets wobbled on Wednesday, as investors reacted to the bigger-than-expected defeat of U.K. Prime Minister Theresa May’s Brexit plan. Major oil companies led the losses. How are the markets trading? The FTSE 100 Index (UK:UKX) dipped 0.
Yesterday we had a real roller-coaster on the GBP. Well, no surprise here as we had a Brexit vote and everybody expected the increase in volatility.
Continue to watch the price action in the U.S. equity markets for direction today. A risk-on session will be bullish for the USD/JPY, risk-off will be bearish.