Key week for Brexit talks

Last week Theresa May has done the rounds as she has been frequently, visiting both her counterparts in the EU trying to find a solution to the ongoing Backstop issue. Needing to provide an update to parliament this week, her job was made harder with comments made by Tusk saying, “there is a special place in hell” aimed at Brexiteers without a plan. The rate has remained within a tight range over the last week, and any upturn in fortunes will be determined by the fate of Brexit talks. However, as we have seen any negative news won’t take long to send the rates back down.

In a hit to the UK economy, growth was downgraded, lowest since the recession. Which saw the rates fall by half a cent before late recovering. Yet to be seen how and if we have a no-deal Brexit, what the state of the UK economy will be. With no trade deal, will the UK enter another recession?

In further developments over the weekend, the ferry deal with Seaborne Freight was cancelled over the weekend. Having already faced criticism for selecting a company that has never run a ferry service. However, the hopes would be that finding a replacement won’t be required and a deal could be struck sooner than later.

This week we will see further talks and any Brexit news will be ongoing. There is a raft of eco stats out as there is this time of the month.

Monday

9.30 UK GDP and Manufacturing

Tuesday

13.00 BOE Carney Speaks
17.45 USD Fed Chair Powell speaks

Wednesday

9.30 UK CPI
13.00 CPI

Thursday

13.30 USD Core Retail Sales

Friday

9.30 GBP Retail Sales

With another key week ahead of us, stay in touch with your account manager to be kept up to date.