Prime Minister Theresa May’s bad week continued yesterday after European governments warned they will increase pressure to secure a post-Brexit trade deal with the EU. May’s week started tough, as her lawyers had a difficult first day at the Supreme Court appeal over triggering Article 50. Sterling weakened after the news, against the majority of it’s counterparties. Adding to Sterling’s woes, was the Bank of England Governor Mark Carney, who earlier this week said the world faces its first lost decade since the 1860’s.
The economic docket was relatively light yesterday with only one piece of notable data released. US Factory Orders continued the States’ bullish economical performance of late, exceeding economists’ consensus. Factory Orders posted a better than expected 2.7% increase yesterday afternoon, as the manufacturing sector continues to expand.
Today sees a key piece of secondary sector data from the UK, followed by Crude Oil Inventories this afternoon. Manufacturing production this morning is forecast to decline from last month’s reading to 0.2%, whilst industrial production is expected to bounce back from negative territory. Last week’s OPEC meeting in Vienna has put this afternoon’s Crude Oil Inventories reading into the spotlight. Negotiations led to members freezing production at 32.5m barrels per day, which was toward the lower end of economists’ forecast last week.