Forex Fundamental Analysis

In another unforeseen Brexit risk to UK businesses which will hit small to medium companies disproportionately hard, it has emerged that after the UK leaves the EU, VAT (Value Added Tax) will need to be paid upfront in accordance with new, UK legislation being prepared.

Last week was the first trading session of 2018, but many investors will have enjoyed an extended holiday. This summary looks at what happened last week and over the last year.

Uncertainty over Brexit and its wider economic consequence beyond the vehicle manufacturing industry together with consumer uncertainty over the future of diesel vehicles have combined to supress UK car sales for the first time in six years.

The Brexit dream is that the UK should unfetter itself from EU regulation and be free to forge new trade deals with the rest of the world.

The number of new mortgage approvals in the UK fell in November to its lowest level since August 2016 at 39507 according to UK Finance.

Last week saw the final trading session for the week, the month the quarter and the full year for December 2017.

Forex trading was unusually tricky in 2017, with many forces moving the market, making it difficult for many traders to find the profits they sought.

The history of money can be traced back to barter where goods were swapped for other goods or labour.

Historically, the UK has seen some periods of high inflation where people’s spending power has been eroded by sharp increases in the prices of goods.

Last week was a largely positive affair for the world’s major markets with only the Dax losing any ground.

The International Monetary Fund (IMF) has trimmed its projection for UK growth from 1.7% to 1.6% for the current year, citing “Brexit uncertainties”.

The Republican Party enjoys a majority in both the Senate and the House of Congress and so, theoretically, has a free-hand to pass whatever legislation it wishes. This situation has finally allowed passage of one of President Trump’s flagship policies, a major tax upheaval.

It is probably correct to say that a Tory truce has been declared over Brexit until the New Year.

Last week was another mixed affair for the world’s major markets with the Dax, Cac and Nikkei retreating.

It is highly likely that the leaders of the EU27 will give authorisation for Brexit talks to move to the second stage today.