The pound showed a brief upward tick early this morning as EU leaders announced a flexible Brexit extension until 31st October. Longer than the Prime Minister’s publicly intended deadline, but shorter than Tusk’s, the delay is ‘flexible’ in that the deadline can be brought forward if the Withdrawal Agreement is passed at any point.
The ECB held off rate hikes until at least the end of 2019, as the markets expected, so there was little movement in the euro. Fears of a trade war with the US continue to grow, following further Tweets from Donald Trump that the EU’s policies would ‘come back to bite’.
There’s still a lot of volatility on the horizon, so make sure to speak to your Personal Trader on 020 7898 0541 to find out about securing a fixed exchange rate with a forward contract.
