The Pound Sterling failed to gain momentum even after the offer of Theresa May's resignation hit the table. Analysts say that her offer was not enough to convince opponents to support her proposed Brexit plan, which is translating to additional uncertainty over the short term. The deadlock is clearly weighing in sentiment, and analysts say that until FX traders get some clarity as to exactly what the Parliamentarians want from a Brexit deal, Sterling will remain under pressure.
As reported at 11:34 am (GMT) in London, the GBP/USD was trading lower at $1.3134, down 0.2362%, moving off the session trough of $1.3126, but well away from the peak of $1.3198. The EUR/GBP is higher at 0.857 Pence, a gain of 0.2867%; the pair has ranged from a low of 0.84277 Pence to a high of 0.85723 Pence.
Fundamentals Ahead
Markets' attention will turn to the release of growth data from the United States, which is due out later today. According to the latest polls, the US Bureau of Economic Analysis is expected to report a slowdown in production to 2.4% (year-over-year) for the 4th quarter of 2018, well off the previous reading of 2.6%. Also a potential market mover, Germany will be releasing personal inflation data, with analysts forecasting that the Harmonized Index of Consumer Prices declining to 1.6% in March (month-over-month). The EUR/USD is currently trading at $1.125, down 0.0249%.