The pound is strong against the euro and the dollar this morning, rising on news that the UK and EU have agreed to engage in intense Brexit negotiations. After Chief Negotiator, Michel Barnier, acknowledged yesterday that concessions need to be made by the EU, David Frost invited the EU team to London to resume talks this week.
The second and final Presidential debate is due to take place this evening, ahead of the election on the 3rd of November. However, the dollar continues to be impacted by news surrounding the long-awaited stimulus package from Congress.
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GBP: Negotiations to resume this week
The pound is strong against the euro and the dollar this morning on news that the UK and EU have agreed to intensify Brexit talks. The EU’s Chief Negotiator, Michel Barnier, said that the “door was open” for further negotiations earlier this week. David Frost said yesterday that the UK are ready to welcome the EU to London to continue talks.
This followed a statement from Barnier to the EU Council yesterday morning, which ultimately said that the EU need to make concessions to drive negotiations forward.
Today, Bank of England officials, including Governor Andrew Bailey, and are expected to comment on the health of the economy. These will be followed by Industrial Trend Orders and the CBI Business Optimism Index.
EUR: Consumer confidence in Germany wanes
Consumer confidence figures for Germany were released this morning. The GfK Consumer Climate Indicator fell to -3.1 heading into November from a revised -1.7 in October and missing market expectations of -2.8. This was the weakest reading since July, amid fears over another lockdown and growing restrictions across Europe.
Later today, consumer confidence figures will be released for the whole of the Eurozone. This will be followed by PMI data tomorrow, which will give a good insight into the health of the European economy.
USD: Final Presidential debate tonight
The dollar is slightly stronger this morning, continuing to be driven by news of the long-awaited US stimulus package. After setting a 48-hour deadline on Sunday, Nancy Pelosi and Steven Mnuchin are still yet to agree on the details of the bill.
Later tonight, the second and final Presidential debate will take place. The debate will go on for 90 minutes and will be broken into 15-minute segments. Each candidate will be given two, uninterrupted minutes to speak at the beginning of each debate.
Jobless claims figures will be released for the US this afternoon.