9.10 - UK and pound attract all of our attention today
Today, despite the fact that turbulence in Asian and China didn’t go anywhere, I think it is better for us to go to the West. There we can see that the pressure from Brexit has seemingly reached its peak and the only thing that I can say is that if this is not a peak, then poor-poor pound.
After yesterday’s discussion of what should happen to Northern Ireland after Brexit is complete Johnsons decided to say that Brexit is almost impossible. But that didn’t really sit well with Cable traders. The currency started to slip and is still falling. It is possible that today during the day we are going to see much more of the fall that initiated yesterday. Pound today is one of the most dangerous assets, but interesting nonetheless. We hope that soon this situation is going to resolve.
Of course so much attention towards the whole situation with pound means that other currency couple are not going to get as much attention and as much action as before. This means that Is there are gains, then they are going to be pretty moderate and losses are going to be small as well. Well, it is for the best as we already have our very own crisis on our hands.
In the meantime, USA are not wasting any time and the trade war rages on. Because of the ‘abuse of Muslim minorities in China’ USA imposed vises on Chinese officials. This, of course, was viewed as another act of American political aggression which now has all of the potential to not only start another twist of diplomatic war, but even meddle with trade talks which are still to take place tomorrow and on Friday.
Commodities are mixed with oil slipping on world tensions and precious metals changing their pace from losing for several days in a row to gains, which is welcome change in the situation as are finding ourselves in today.
There are the main changes in the world markets for today:
Topix lost 0.4 percent.
Kospi added 1.2 percent.
Shanghai Composite barely changed.
Hang Seng from Hong Kong lost 0.8 percent.
S&P 500 futures recovered 0.2 percent.
Euro lost 0.15 percent - $1.0959.
Yen grew 0.2 percent – 107.16 per dollar.
Pound dropped 0.7 percent - $1.2209.
Canadian dollar dropped 0.2 percent - $1.3314.
Apple lost 1.2 percent - $224.4.
Facebook dropped 1.1 percent – $177.75.
Amazon declined 1.6 percent - $1705.51 per share.
Tesla added 1 percent - $240.05.
Google shares lost 1.5 percent - $1190.13.
WTI decreased 0.4 percent - $52.41 per barrel.
Brent declined 0.4 percent as well - $58.03 per barrel.
Gold added 0.5 percent - $1511.5 per ounce.
Silver advanced 0.6 percent - $17.81 per ounce.
Platinum added 0.3 percent – $892.53.