Sterling was pushed higher yesterday after Michel Barnier, the EU’s chief negotiator showed his eagerness to press ahead with talks with the UK. In a report published yesterday, Barnier said that the agenda and dates for the next round of negotiations would be set “in next few hours or days”.
His comments came as positive news given that the UK has been pleading Brussels to agree more face-to-face meetings regarding future trade arrangements in order to speed up the exit process and avoid a no-deal situation.
Brexit talks have been confirmed to resume on Nov 8 with Brexit secretary David Davis set to meet his EU counterpart, Barnier a week on Friday to review the progress of talks between officials.
The dollar painted a mixed picture yesterday following stronger than expected consumer confidence data, pointing to underlying strength in the US economy. The figure which rose to 125.9 in October reached its highest level since 2008 up from 119.8 the previous month. Analysts had originally expected the figure to increase to only 121.
As the FOMC's two-day meeting got underway, investors also sought rhetoric on US monetary as well as on who President Trump will choose to chair the Fed from February 2018 onward.
10:30 – GBP – Manufacturing PMI; Forecast at 55.8 from a previous of 55.9
13:15 – USD – ADP Non-Farm Employment Change; Forecast at 191K against a previous of 135K
15:00 – USD – ISM Manufacturing PMI; Forecast at 59.4 against a previous of 60.8
15:30 – USD – Crude Oil Inventories
19:00 – USD - FOMC Statement