Forex Fundamental Analysis

As we predicted yesterday, the US Federal Reserve has approved its third quarter point rise in interest rates for 2017, taking the US interest rate band up to 1.25 to 1.5%.

One argument used against the Federal Reserve’s policy of gradually tightening monetary policy by increasing interest rates was that higher borrowing costs could dissuade US employers from taking on new staff.

A fact which is lost on many of the proponents of Brexit is that when the UK leaves the EU it will also step aside from the 50 or so trade deals that it has with other nations around the world meaning that the UK will have to run very, very fast just to stand still.

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

The headline reads that May “Secures Breakthrough” in Brexit talks, achieving, at the last moment, an outline agreement to move to phase two of the discussions where the future UK/EU trade relationship can be thrashed out. The devil is in the detail.

One of the enduring political storms over recent months has been whether parliament in the UK should see the 58 sectoral analysis reports that evaluate the likely effects of Brexit on key sectors of the UK economy.

The ouroboros symbol depicts a snake swallowing its own tale, consuming itself. Might it yet be the only kind of Brexit that we see?

Donald Trump’s Republican Party has an absolute majority in both the House of Congress and the Senate which, theoretically, makes it straightforward to pass bills into law – the rub is that the President is not well-liked by all sections of his own party.

Last week was a mixed affair for the world’s major markets with only the Dow and Nikkei recording gains.

Arguably, the hardest of the three Brexit roadblocks to resolve is the question of Britain’s border with the EU in Ireland.

Arguably, the easiest of the three Brexit roadblocks to resolve is the question of Britain’s outstanding obligations to the EU, wrongly (but compellingly) dubbed “the divorce settlement”.

Brexit has been a fiasco from the very start. Rather than the motivation for the referendum being a genuine census of an informed people on a “fork” in the European road where either of two propositions is equally valid.

In what was a masterstroke of closing the stable doors after the horses have bolted, central banks around the world (notably in Europe and the USA) conducted an audit to see if the banks in their charge were placed to withstand another major financial jolt.

Last week was a positive affair for the world’s major markets with all making ground.

Robert Mugabe has led the nation of Zimbabwe ever since its creation from white controlled Rhodesia.