News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • Forex Update: As of 02:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.15% 🇳🇿NZD: 0.02% 🇨🇦CAD: -0.06% 🇪🇺EUR: -0.08% 🇬🇧GBP: -0.09% 🇦🇺AUD: -0.17% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/HbXlgqqEG4
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.34%, while traders in NZD/USD are at opposite extremes with 63.25%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/RoqYFl8Oue
  • Silver prices plummeted over 8% on Monday, registering their largest single-day swing seen in more than one month. The potential cross over of its 20-Day SMA below 50-Day SMA is likely to form a “Death Cross”, which is a mid-term bearish indicator. https://t.co/N6OHzhZOzR
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here:https://t.co/1oygcFMFNs https://t.co/C2rRzTLN03
  • As the clock is ticking on US Presidential Election – an event that is highly important and may carry significant amount of uncertainty. Will you ride the volatility or stay on the sideline until the political skies are cleared in November? https://t.co/5EXpzyXHct
  • Wall Street Futures edged higher at Asia opening hours: Dow Jones (+0.12%) S&P 500 (+0.13%) Nasdaq 100 (+0.13%) [delayed] -BBG
  • Join @DanielGMoss's #Webinar at 10:00 PM ET/2:00 AM GMT for his weekly coverage of trading prep for $AUDUSD in the week ahead. Register here: https://t.co/wi1qabrtHJ https://t.co/bmOoBpGlZs
  • $AUDUSD dipping in morning APAC trade following a speech from #RBA Governor Guy Debelle He mentioned that an option possibly being considered for other policy prescriptions is to buy bonds 'further out along the curve' (relatively dovish) https://t.co/JXQktfCrj0 https://t.co/Xbyhuuy5b6
  • RBA's Debelle: 'Mixed' empirical evidence on negative rates, TFF increase is substantial easing of monetary policy -BBG #RBA $AUDUSD
  • RBA's Debelle: Lower #AUD would benefit economy, watching closely. FX intervention not effective in current circumstance -BBG $AUDUSD #RBA
Brexit Amendment Votes Spook GBP Traders, AUD/USD Eyes CPI Data

Brexit Amendment Votes Spook GBP Traders, AUD/USD Eyes CPI Data

2019-01-30 00:00:00
Daniel Dubrovsky, Analyst
Share:

Asia Pacific Market Open Talking Points

  • British Pound tumbles as series of Brexit amendment votes spook investors
  • Australian Dollar follow-through on CPI report may have to wait until RBA
  • APAC shares may trade mixed, Nikkei 225 overshadowed by reversal pattern

See our study on the history of trade wars to learn how it might influence financial markets!

The British Pound was the worst performing major on Tuesday as a series of Brexit amendment votes spooked traders. The UK Parliament voted to reject Amendment B. In short, this would have sought to delay Brexit should Prime Minister Theresa May fail to secure a deal towards the end of next month.

What did pass was Amendment N, proposed by Graham Brady. This seeks to replace the controversial "Irish backstop" with “alternative arrangements to avoid a hard border” between the Republic of Ireland (an EU member state) and Northern Ireland (a part of the UK). However, moments after the vote, an EU spokesman said that the agreed-upon Brexit deal was not open to renegotiation. Later on, this was reiterated by French President Emmanuel Macron.

Given these complications, markets seemed to have interpreted the day's events as increasing the odds of the UK exiting the European Union without a deal. Not surprisingly, the US Dollar rose with declines in Sterling but only ended the day cautiously higher. In fact, apart from the British Pound, the major currencies were rather mixed against the backdrop of another volatile day in stock markets.

The S&P 500 closed 0.15% lower while the Dow Jones Industrial Average ended the day 0.21% higher despite bearish reversal warning signs. Markets may be struggling to choose a direction given the remaining event risk this week. This ranges from US-China trade negotiations to the Fed rate decision and prominent local economic data. Speaking of, US consumer confidence sunk to its lowest since July 2017 today.

Looking to Wednesday’s Asia Pacific trading session, the Australian Dollar may look past domestic inflation data for more prominent fundamental themes this week. While it may inspire near-term volatility, lasting follow-through would probably have to wait until the RBA gives a monetary policy update next week. Meanwhile, the Nikkei 225 is also at risk to a bearish reversal pattern.

US Trading Session

Brexit Amendment Votes Spook GBP Traders, AUD/USD Eyes CPI Data

Asia Pacific Trading Session

Brexit Amendment Votes Spook GBP Traders, AUD/USD Eyes CPI Data

** All times listed in GMT. See the full economic calendar here

FX Trading Resources

--- Written by Daniel Dubrovsky, Junior Currency Analyst for DailyFX.com

To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES