Learn to trade CFDs with Tony Sycamore
Hedge your share portfolio with CFDs. Join our free webinar on 14th May.
Market News & Analysis
Home news keeps FTSE in narrow range
Fiona Cincotta February 7, 2019 9:16 PM
Pound falls below $1.3
Sterling is below the $1.3 level this morning as the PM’s Brexit efforts seem to be going nowhere. Fresh from a visit to Belfast Wednesday where her comments seemed to conflict with what some of her party members wanted, Theresa May is heading for Brussels to try and get some fresh concessions from the EU over the Irish border. But with the vitriol in Brussels on the rise she is more likely to get a no, non and nein.
The specter of hard Brexit has knocked sterling out of a narrow channel in which it has been sitting for most of this week, causing it to slide to $1.213, down 0. 15%. The pound weakened less against the euro, down 0.09%, not on its own merit but because the common currency is under fresh pressure following several sets of weaker economic readings.
BoE to keep rates steady but cut forecasts
Though the Bank of England is set to keep rates flat at its meeting today the country’s sluggish economic growth and expectations of a further slowdown over the coming months mean that the rate setters will look into increasing rates later this year.
More evidence, if any was needed, came from mortgage lender Halifax’s latest data showing that house prices dropped 2.9% in January.
Brexit will continue to paralyse not only any economic growth but also any decision making, potentially into the next BoE meeting which is due only days before the end of March deadline.
From time to time, GAIN Capital Australia Pty Ltd (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.
As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.