Sterling in free fall as Hard Brexit line raises fears
- AUD - Retail Sales m/m: 0.2%
- CNY - CPI y/y: 2.1%
- GBP - Halifax HPI m/m: 1.7%
- CAD - BOC Business Outlook Survey
- CNY - PPI y/y: 5.5%
Yesterday had investors selling the pound after comments made by Prime minister Theresa May on Sunday afternoon, in her first interview of 2017. The Pound has continued to slide and hitting its lowest level against the Dollar since October, has fallen near a two month low against the Euro.
Although markets took the PM’s interview as a “hard Brexit” that the UK was heading for, Theresa May hit back yesterday and blamed the media for inflaming fears that Britain will come crashing out of Europe, without a deal to stay in the EU’s common market. May went on to say that she would seek an ambitious trade deal for the UK after the markets move from her interview on Sunday.
With Article 50 still waiting to be triggered, this uncertainty and the somewhat muddled messages will no doubt be the main driver for Sterling for this year.
- CAD - Building Permits m/m
- USD - JOLTS Job Openings
Today’s markets will keep a watch out for any further fall out that the Pound may see. Data wise China have already released their inflation figure this morning where the yearly number came out at 2.1%, below the expected 2.2% but still remains at steady level.
Later this afternoon, we get a further insight into the US labour market as the JOLTs job openings hits the wires. With the poor NFP seen last Friday the labour comes into focus once more to see if it can again show any signs of further growth.
Have a good day.