The deafening news shocked the whole world yesterday: the British Queen Elizabeth II died peacefully at the age of 96…
GBP and the UK PM: anyone in the room?
Information is not investment advice
Let’s just sort out what’s happening in the UK.
With Brexit - almost nothing. Just another week passed – the one that was supposed to be decisive. Fisheries, the level playing field, and accord enforcement – none of those key sectors of negotiation saw any progress.
With Boris Johnson – really not sure. Hopefully, he is doing fine, because in two days, two of his key allies left him: Lee Cain on Wednesday, after rejecting the position of chief of staff, and Dominic Cummings on Thursday, although he will stay in until the end of the year. Observers are trying to speculate on the reason, interconnection, and Brexit implications of those events, but one thing is for sure: it will be harder for Boris Johnson to assert his power without those people.
With the GBP – so far, it’s doing fine. Strategically, it hasn’t stepped away from strengthening against the EUR. Tactically, it lost some value, possibly on those two resignations, driving EUR/GBP up to 0.90. It’s already in a downward retrace though, so the GBP is pressing on the EUR again.
We are used to saying “the next week will be decisive” but if there is something that Brexit taught us – it’s that what was announced as deadlines initially, easily converts into just another time-checkpoint for fruitless negotiations. Watch the GBP though – it’s resilience is not limitless.
After months of pressure from the White House, Saudi Arabia relented and agreed with other OPEC+ members to increase production.
The US Federal Reserve may refrain from more aggressive interest rate hikes in March due to geopolitical risks after Russia's special operation in Ukraine…
A United Nations agency is warning that the central bank’s actions create a high risk of pushing the global economy into recession.
Inflation in New Zealand is the highest since 1990, edging to 7.3% in Q2 2022. The currency is under heavy pressure as the Reserve Bank of New Zealand is trying to reverse the inflationary spiral. The week ahead will give us a valuable clue about the country’s monetary policy, and we are here to talk about that.
In the middle of September 2022, the Canadian dollar has fallen to a 2-year low against the USD.