18th May 2017-US political concerns remained a key focus speculation Trump could face impeachment

 

     

US political concerns remained a key focus speculation Trump could face impeachment


US political concerns remained a key focus during Wednesday with fresh speculation that President Trump could face impeachment.  There were further concerns that economic reform and tax cuts would be delayed, undermining growth potential, and there were also concerns over net capital outflows as confidence in the US faded.

The US currency came under sustained pressure with the dollar index at a fresh 6-month low below 97.50. There was a slide in risk appetite as equity markets declined sharply while demand for defensive assets such as the yen and gold increased sharply.

After the US close, the Justice Department announced that a special counsel would be appointed to oversee the investigation into alleged links between the 2016 Republican campaign and Russia. The move had some impact in calming tensions as the dollar gained some relief.

The UK unemployment rate declined to 4.6% in the three months to March and the lowest rate since 1975 as employment and the participation rate continued to increase. There was, however, a further increase in the jobless claimant count of close to 20,000 for April.

Headline average earnings increased 2.4% in the year to March, in line with consensus forecasts with a 2.1% increase excluding bonuses.

Real earnings declined for the first time in over two years, which will tend to curb consumer spending and the increase in average earnings is not strong enough to increase pressure for a tighter monetary policy.  The Conservative manifesto suggests that fiscal policy will be more expansionary than expected during the next parliament, which could increase the potential for Bank of tightening.

Overall, GBP/USD pushed to 8-month highs just below 1.3000 on wider dollar losses before dipping to the 1.2950 area while GBP/EUR hit 6-week lows at 1.1605.

 

     
 
       
 

GBP/EUR 

– 1.1631

 
 

GBP/USD 

– 1.2947

 
 

GBP/CHF 

– 1.2705

 
 

GBP/JPY 

– 144.13

 
 

GBP/AUD 

– 1.7363

 
 

GBP/NZD 

– 1.8682

 
 

GBP/CAD 

– 1.7636

 
 

GBP/ZAR 

– 16.1647

 
 

GBP/NOK 

– 10.9193

 
 

GBP/SEK 

– 11.3163

 
 

EUR/USD 

– 1.1131

 
       
  All rates are indicative of interbank rates*  
       
 
 

GBP/EUR 

 
 

GBP/USD 

 
 

EUR/USD 

 
       
 
   

09:30 GBP

GBP Retail Sales (Y/Y)

-

1.70%

 
   

13:30 USD

US Initial Jobless Claims

-

-

 
   

18:00 EUR

ECB President Mario Draghi's Speech

-

-

 
   

18:15 USD

FOMC Member Mester Speaks

-

-

 
 
   
 
 
*All rates shown are indicative of interbank rates and should only be used for indication purposes only. It is important to note that foreign exchange rates fluctuate and that rates may vary depending on the amount and the base currency that is purchased or sold. Rates are correct as of 8:00am UK time.  CentralFX are not responsible for the rates shown.
 
 
 

Sign up to our newsletter

  1. Please tell us your name(*)
    Please use only alpha-numeric characters
    Please use only alpha-numeric characters
  2. Your Email(*)
    Please let us know your email address.
  3. Business / Personal(*)
    Invalid Input
  4. Please tell us a telephone number you can be contacted on(*)
    Please use only numbers and hyphens

Get in touch

CentralFX

3 Lloyds Avenue
London, EC3N 3DS

+44 (0) 20 7265 7979

info@centralfx.co.uk

We trade currency here. You can trade currencies too. Why not try our currency calculator and use our currency chart and currency economic calculator. Currency is everything here.We trade currency here. You can trade currencies too. Why not try our currency calculator and use our currency chart and currency economic calculator. Currency is everything here.We trade currency here. You can trade currencies too. Why not try our currency calculator and use our currency chart and currency economic calculator. Currency is everything here.

.We trade well business here. You can trade business too. Why not try our with business and use our business chart and business economic. business is business here.

We use well business use here. You can trade with great use. Why not use our with use and use our business chart and use economic. business us business use.We use well business use here. You can trade with great use. Why not use our with use and use our business chart and use economic. business us business use.We use well business use here..

Why not trade with our trade and use our trade chart and trade economic.You can trade as we trade too. Why not trade with our trade and use our trade chart and trade economic. trade is trade here.We trade well trade here. You can trade as we trade too. Why not trade with our trade and use our trade chart and trade economic. trade is trade here

.We centralfx well centralfx here. You can centralfx as we centralfx too. Why not trade with centralfx our centralfx and use our centralfx chart and centralfx economic. centralfx is centralfx here.We centralfx well centralfx here. You can centralfx as we centralfx too.