Sterling Jumps on Haldane’s Hawkish Commentary

The Queen Speech takes center stage this Wednesday calling for a "smooth and orderly" departure from the EU. With new measures on trade, immigration, fisheries, nuclear safety, agriculture and sanctions.

It was her 64th speech Queen Elizabeth II delivered the government’s strategy for Brexit. The proposals also included axing the winter fuel allowance for well-off pensioners, expanding grammar schools and ending free school lunches for infants have been dropped. And notably there was no mention of US President Donald Trump's proposed state visit to the UK later this year.

The UK’s public sector borrowing falls to lowest point since 2008, narrowing in May to £6.7bn, down 5% compared to the same month last year according to the Office for National Statistics.

Sterling rose as the FTSE fell after Bank of England Chief Economist Andy Haldane says he expects to vote for a rate hike this year. Hawkish comments put him at odds with BoE Governor Mark Carney, whose Mansion House speech was much more dovish.

Provident was one of the biggest losers after issuing a profit warning – siting operational disruption from the reorganization of its home credit division.

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--- Written by Katie Pilbeam, DailyFX