Supreme Court Judgement Moved Market

Last week’s historical supreme court judgment means Theresa May needs the approval the Parliament to trigger the Brexit process. The Supreme Court had decided that MPs must be given a vote on triggering Article 50, the formal mechanism for leaving the European Union. Despite the setback, Theresa May insisted that plans begin negotiations on leaving the EU by the end of March remain on track. The supreme court also decided it was not necessary for assemblies in Scotland and Northern Ireland to be consulted which would have made the already confusing process longer, which is something people are keen to avoid. After the announcement, we saw the pound strengthen but then losing half a cent within minutes.

US data was weaker than expected with the first GDP estimate for the final quarter of 2017, falling short of expectations with a 1.9% growth instead of the 2.1% rise initially anticipated. A decline in exports was the main reason behind the disappointing release.

This Week Rate decisions in Japan, the US and the UK, GDP data in Canada and the buildup to the US Non-Farm Payrolls on Friday promise a busy week. These are the main events on data this week:-

Tuesday
Japan rate decision
Canadian GDP data
US CB Consumer Confidence

Wednesday
US ADP Non-Farm Employment Change
US ISM Manufacturing PMI
US Crude Oil Inventories
US FOMC Rate Statement

Thursday
UK rate decision
US Unemployment Claims

Friday
US Non-Farm Payrolls report
US ISM Non-Manufacturing PMI