Pound rebounds above $1.32 on Brexit deal hopes

By


(FILES) In this file photo taken on October 05, 2017 A British one pound sterling coin, a one euro coin and a US quarter dollar coin are arranged and photographed in central London on October 5, 2017. – Sterling rose further on March 22, 2019 after Brussels gave Britain a Brexit deadline extension, but stocks dived as fresh economic gloom gripped trading floors. (Photo by Daniel SORABJI / AFP)

Sterling rallied above $1.32 on Tuesday on fresh hope that British Prime Minister Theresa May would avoid a chaotic no-deal Brexit, while global stock markets recovered.
The pound jumped as high as $1.3262 in London morning deals, before tempering the gains by midday.

The European single currency fell as low as 85.25 pence on hopes of an orderly departure from the European Union on April 12.

The long-running saga took a fresh twist after Brexit hardliner Jacob Rees-Mogg declared on Twitter: “The choice seems to be Mrs May’s deal or no Brexit”.

Rees-Mogg, head of the European Research Group of eurosceptic lawmakers and an MP for May’s Conservatives, also said in a political podcast interview that “the PM will not deliver a no-deal Brexit.”

Oanda analyst Craig Erlam said it had been clear for months that “May’s strategy has been to corner sceptics into backing her deal”.

“The idea that the risk of no deal or no Brexit would be enough to win enough votes may be starting to bear fruit just as parliament seeks to wrest control of the process,” he told AFP.

“Securing the backing of a high profile ERG member like Rees-Mogg — albeit reluctantly — could dramatically improve May’s numbers. It’s now just a question of whether it’s too little too late.”

Perking up
The remarks came one day after Britain’s parliament seized the initiative from May in a historic vote to give MPs a broader say on what happens next.

“Jacob Rees-Mogg appeared to be responsible for the pound perking up,” said Spreadex analyst Connor Campbell.

Monday’s vote creates parliamentary time for MPs to come up with their own Brexit proposals as Britain tries to stave off a messy divorce in two weeks.

They will now choose whether to revoke Article 50 and cancel Brexit, hold another referendum, vote for a deal including a customs union and single market membership, or leave the EU without a deal.

However, even if they decide a majority course of action, the government is not legally bound to follow their instructions.

The move came after May admitted she still had not secured the votes needed to get her Brexit deal through parliament.

Stocks brighten
Elsewhere Tuesday, Asian and European stock markets rebounded after the previous day’s steep losses, though dealers nevertheless trod cautiously.



In early afternoon trade, Frankfurt was up 0.4 percent and Paris jumped 0.8 percent, while London won 0.2 percent with gains capped by the stronger pound.

Investors slowly edged back to the markets but they were suffering a hangover from Monday’s pummelling, which came on the back of a drop in benchmark 10-year Treasury bond yields below those for three-month bills for the first time since before the global financial crisis.

This so-called inverted yield curve shows investors are more willing to buy long-term debt — usually viewed as a higher risk — as they consider the short-term outlook more hazardous. Such a scenario has preceded several recessions in recent decades.

– Key figures around 1215 GMT –
Pound/dollar: UP at $1.3260 from $1.3195 at 2100 GMT on Monday

Euro/pound: DOWN at 85.25 pence from 85.75 pence

Euro/dollar: UP at $1.1358 at $1.1312

Dollar/yen: UP at 110.40 yen from 109.97 yen

London – FTSE 100: UP 0.2 percent at 7,190.92 points

Frankfurt – DAX 30: UP 0.4 percent at 11,385.95

Paris – CAC 40: UP 0.8 percent at 5,303.24

EURO STOXX 50: UP 0.6 percent at 3,319.10

Tokyo – Nikkei 225: UP 2.2 percent at 21,428.39 (close)

Hong Kong – Hang Seng: UP 0.2 percent at 28,566.91 (close)

Shanghai – Composite: DOWN 1.5 at 2,997.10 (close)

New York – DOW: UP 0.1 percent at 25,516.83 (close)

Oil – Brent Crude: UP 59 cents at $67.80 per barrel



Oil – West Texas Intermediate: UP 76 cents at $59.58

Source:https://samueljackson12.blogspot.com/2019/03/pound-rebounds-above-132-on-brexit-deal.html

Comments

Post a Comment

Popular posts from this blog

Prostitution; Nigerian Women At Growing Risk From Human Traffickers In Germany.

By
Image
According to InfoMigrants, Nigerian women are at growing risk from traffickers in Germany who exploit and engage them in prostitution. Read the full report below by InfoMigrants. The new prostitute protection law in Germany was meant to identify victims of human trafficking – most of them migrant women. More than 18 months after the law came into effect, thousands continue to be targeted for exploitation, and the risk for Nigerian women seems to be increasing. There are campervans parked by the roadside. Some have hearts painted on them, one says “girls, girls” in red letters. It’s an easy matter for someone to stop for a quick transaction in one of these Love-Mobiles – sex with one of the “girls” in exchange for the going rate. Prostitution is mainly legal in Germany, as are these mobile brothels. But many of the women in the business – including those working from the Love-Mobiles – are victims of illegal human trafficking. Most of the women are from Eastern Europe or Nige...
Read more

FULL TEXT: A sacrifice for our new political order – Ezekwesili

By
Image
“When the ACPN leadership approached me in a series of visits to appeal that I run for office on their platform, the party appeared to be a good fit. It was founded by some disgruntled PDP members some years ago, but when its prime founder decided to return to the PDP, a core of its membership refused to move back with him. I was told that they stayed back because of their opposition to the ways of the PDP. Considering my vocal disapproval of the PDP and the APC, I admired the ACPN’s decision to stand firm and refusal to be co-opted.” It has been an interesting one week since I made the tough but necessary decision to suspend my campaign for the presidency. I have been truly overwhelmed by the reactions to my announcement from Nigerians. Even in airports outside the country as I travelled last week, Nigerians walked up to me with questions, concerns, encouragement, and motivation. I also saw disappointment by some who had poured their hearts and hopes into actualising our mission ...
Read more

Update On Slay Queen Who Was Stripped Naked And Tortured Over Missing Phone.

By
Image
The League of Patriotic Lawyers has given Edo State Commissioner of Police, Mr. Olusegun Odumosu, 24 hours to unravel those behind the torture and insertion of pepper into a girl’s private part in Benin City over alleged stealing of a mobile phone.  Chairman of the platform and former Student Union President of the University of Benin, Mr. Abubakar Yesufu, who said this in a statement yesterday, also urged the state Director, Department of State Services, DSS, to be involved in the investigation. A video of the incident, seen by Vanguard yesterday, showed the girl being stripped naked by a group of people, who inserted pepper into her private parts for allegedly stealing a phone. The unidentified girl was heard crying and saying she didn’t steal any phone, while she was being humiliated by the crowd. Yesufu said: “The League of Patriotic Lawyers has given the Edo State Commissioner of Police 24 hours to arrest and commence prosecution of all the street urchins behind thi...
Read more