Market News & Analysis
Third time's a charm
Fiona Cincotta March 15, 2019 9:12 PM
More voting next week
After a third night of voting this week here is where we stand: MPs will vote next Tuesday for a third time on Theresa May’s Brexit proposal and if it is accepted the PM will ask the EU to postpone Brexit until 30 June.
Theresa May opted for one more vote despite being rejected by a vast majority twice because there are signs that Eurosceptics within the Tory party are shifting towards accepting the current deal rather than facing Britain staying in Europe for much longer. If British lawmakers reject the PM’s proposal yet again she will ask for a longer delay in Brexit which could stretch into a year or two.
The markets took the outcome in a positive way and the pound, though a breath lower against the dollar, is still trading above $1.323. However, sterling is somewhat weaker against the euro, despite recent concerns over the slowdown in the European economy as the markets perceive that the impact of Brexit will still be felt in the UK economy in months to come.
Asian shares rally
Though the Sino-US trade negotiations have not been in the headlines in the last few days now signs that they are making progress ahead of the meeting between the two countries’ presidents have boosted Asian markets Friday. However, the two may meet slightly later than the initial date set at the end of March for negotiators to have time to thrash out all of the details of the deal. Shanghai stocks rallied 0.7% and the Nikkei rose 0.8%. However, US investors were more sceptical about the deal and the S&P and the Nasdaq notched lower at Thursday’s close.
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.