20/09/2018 - May Appeals to Euro Leaders

GBP

Overnight Prime Minister Theresa May appealed directly to fellow European Union leaders on Wednesday to drop "unacceptable" Brexit demands that she said could rip Britain apart. She also asked the EU leaders to abandon their proposal that would see Northern Ireland operate a different customs policy with the rest of the UK. Brussels seems to be un-waivered by the plea insisting that the Irish border needed to be “reworked and further negotiated”.

The UK inflation rate unexpectedly rose in August to 2.7%, the highest level in six months. Most Economists had expected the CPI figure to come in at 2.4%. The pound rallied after the data was released by the ONS. Wages are still rising more than inflation, with data last week showing wages, excluding bonuses, grew by 2.9% in the three months to July. Rising prices for recreational goods, transport and clothing drove the rise in inflation.

Key Announcements

09:30 - GBP: UK Retail Sales Figures August (MoM) Expected to be lower at -0.2% to 0.7%.
13:30 - USD: Initial Jobless Claims expected to be higher at 210K from 204K