- Posted by currencies in Bank of England, Brexit, Currency, Dollar, EUR, GBP, Prime Minister, Sterling, UK, Uncategorised
- January 8, 2020
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GBP recovered above 1.32 against USD and 1.18 against EUR due to expectations of The Withdrawal Agreement Bill being passed through the House of Commons within the next few days now that Parliament are back after the Christmas break.
Topics debated in the House of Commons yesterday were based on the 11 month transition period the UK will have to get a Trade Deal in place. Today MP’s will look at Northern Ireland issues in the Withdrawal Bill with Thursday being the day it is expected to be passed through House of Commons. The outcome of the WAB should see GBP strengthen further against the majority of currencies.
Tensions between U.S & Iran have intensified further after threats that Iran are evaluating 13 possible ways to inflict a ‘historic nightmare’ on America. This came after up to 50 people were killed in a stampede at the general’s funeral. Possible scenario moving forward is a retaliation with Iran reducing Oil supplies affectively driving the price of gold north of $1,600.
Germany look to be off to a strong start economically in 2020 with Retail Sales and Construction PMI both beating expectations by a significant amount. Germany accounting for 40% of the Euro-Zone would suggest that continued improvement for them will play a big part in how the Euro-Zone perform in the first quarter of 2020. Euro.