12 February, 2019
GBP/USD was stable this morning, trading slightly above 1.2850. The pair fell yesterday to its lowest rate in three weeks (1.28424). The dollar on Monday hit a 2019 high in the eighth day of its longest rally in two years, as concerns about a trade deal with China and an economic slowdown in Europe sent investors into the safe-haven currency. China struck an upbeat note on Monday as trade talks resumed with the United States, but also expressed anger at a U.S. Navy mission through the disputed South China Sea, casting a shadow over the prospect for improved Beijing-Washington ties. On Brexit, British Prime Minister Theresa May is seeking to buy time to renegotiate her Brexit agreement with the European Union, as her opponents in Parliament plot to take control to stop the U.K. plunging out of the bloc with no deal. She will make a statement in the House of Commons on Tuesday. Early this afternoon, BoE Governor Mark Carney will at an FT event as Brexit nears and the world economy slows. Later this afternoon, US JOLTs Job Openings for December will be released. Also this afternoon, Fed Chair Jerome Powell will speak on “Economic Development in High Poverty Rural Communities” at the Hope Enterprise Corporation Rural Policy Forum.