A pedestrian passes an electronic stock exchange on Thursday, August 30, 2018, which graphs the exchange rate of the yen against the dollar of an investment firm in Tokyo, Japan.
Kiyoshi Ota | Bloomberg | Getty Images
This week, the UK government will submit the full draft withdrawal treaty to try to pass it through in both the House and the Lower Houses of Parliament. A decisive vote by the legislature would probably be made later in the week.
The pound is likely to remain somewhat volatile, but supported as the odds for a hard deal (no deal) seem very small, and for another Brexit. A delay or ratification of the new referral agreement in the British House of Commons will Week, "wrote currency strategists of the Commonwealth Bank of Australia in a morning note.
The British pound changed hands at $ 1
US-China Trade Talks
In other countries, the US and China made "significant progress" in trade talks, according to Chinese vice-prime minister Liu He, Reuters. After Beijing and Washington reached a partial deal earlier this month, they are working on a written agreement.
Both sides have imposed tariffs on multi-billion dollar products that have disrupted global markets, created uncertainty and impacted business outlooks around the world. China announced last week that its economy grew 6% year-over-year in the third quarter. This is probably the slowest GDP growth in the country for at least 27.5 years.
"Trade tensions between the US and China are weighing on China's production and export sectors, while Beijing's measured fiscal and monetary stimulus is only a balancing force," said Rodrigo Catril, a leading foreign exchange strategist at National Australia Bank, in a morning note.
"China's economic growth is slowing as officials keep an eye on US tensions, while at the same time trying to clean up the financial system and limit excessive credit growth," Catril said, adding that if US tariffs are not abolished, "Another economic slowdown is likely."
The US dollar traded at 97,313 against a basket of its counterparts, falling from levels near 97,400. The Japanese yen, which is considered a safe currency, was trading at $ 108.42 per dollar, down from $ 108.28, while the Australian dollar was trading at $ 0.6850, down $ 0.6855 from its previous high was.
19659007] Here is the economic calendar for Wednesday (all times in HK / SIN):
9:30 am: China interest rates on loans