Draghi is an optimistic dove
A new species has been discovered today in the Governing Council; the optimistic dove. European Central Bank President, Mario Draghi, once again displayed the variety of tones in his plume as he delivered a dovish message, but continuously guided the attention of the listener to the silver linings.
Tonight’s vote a barometer for parliamentary appetite for May’s deal
If May’s boisterous reception in the commons and tweets from Tory MPs are to be believed, May is more likely to survive tonight’s vote than not. This appears to be the market’s base case, with sterling rallying slightly this morning towards the 1.26 handle against USD despite the possibility of utter disaster in the event May loses and the UK heads for a no-deal outcome.
Brussels fudge for breakfast
The Brussels fudge that May and Juncker have served up this morning has gone down a treat for sterling. The pound is trading up against almost all major partners, and has reached a six month high against the euro. This morning’s deal looks like a classic eurozone can kicking exercise. It’s now clear that Britain […]
Last evening’s price action proves that political risk remains a primary driver for sterling
Last evening’s price action once again showed the extent to which political risk remains a primary driver for sterling. Even though talks on substantive issues of trade have not even begun, and the Irish border remains a stumbling block, these initial signs of compromise from May are a very good sign and have given sterling […]
Ranko BerichRanko Berich is Head of Market Analysis at Monex Europe & Monex Canada. He is a respected macroeconomic commentator, combining incisive market insight with a deep understanding of global economic and political events.
Ranko leads our team of analysts, providing commentary and insight on the markets as news breaks.