What a difference a day makes

Today’s news headlines:

‘Biden set to unwind Trump agenda after winning US election’. As President-elect Joe Biden begins his transition efforts, he has prepared a series of executive orders to reverse some of Donald Trump’s signature policies. Biden has vowed to reverse the decision made by Trump to leave the World Health Organization and will also be re-entering the US into the Paris climate accord, officially exited by the US only last week. Biden has already vowed to create the most diverse administration in history, but his first task will be to decide which medical experts will be in his newly announced coronavirus task force. Meanwhile, Trump has refused to concede victory to the Democrat, insisting that the election has been stolen from him, without supporting evidence. (Financial Times)

‘Lords defeat of Brexit Bill will put government on track for Biden clash’. Boris Johnson’s government are facing calls to amend the controversial Internal Market Bill, which could currently break international law and its commitments to the Brexit withdrawal agreement. Peers in the House of Lords will vote today to remove the clauses from the legislation which risk violating the terms of the 1998 Good Friday Agreement. As an Irish-American, the President-elect has already made it clear that the peace agreement cannot become a casualty of the Brexit process. (Financial Times)

Today's events, rates, and data 

  • Global stocks are taking the news of a Biden presidency well, as both European and US equity futures posted gains into this morning, following the rise in Asian equities overnight. As expected, the Dollar has pulled back further, with the Dollar Index touching the lowest level since 1st May 2018. Risk currencies all gained with the Chinese Yuan touching a 28-month high, the New Zealand Dollar rising to a 19-month high, and the Aussie Dollar marking a seven-week top.

Today's events

ECB President Lagarde Speaks: 9.25am
BoE Gov Bailey Speaks: 10.35am
MPC Member Haldane Speaks: 2.00pm
FOMC Member Mester Speaks: 6.30pm

Interbank rates:

GBP/USD: 1.3180
GBP/EUR: 1.1095
EUR/USD: 1.1880
USD/CAD: 1.3010

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