On a day dominated by Theresa May’s decision to delay the meaningful vote, the European court of justice ruled that the UK can unilaterally stop the Brexit process. The court concluded that any EU member state can revoke an article 50 process without needing approval from other member states. However, this can only be done before the withdrawal comes into force.
Germany’s balance of trade figures were released and showed that the surplus decreased to €18.3 billion in October 2018 from €19.1 billion in the same month a year before. While imports jumped by 11.3%, exports increased at a slower pace of 8.5%. It was a brilliant day for the euro against the pound, as it soared to its highest mark for 20 months. Moves against the dollar were fairly muted throughout the day.
Today we will see the ZEW economic sentiment indices from Germany and the eurozone. Last month, the eurozone’s largest economy posted a reading of -25.1 and the markets are expecting a slide to -25. It will be interesting to see if Germany and the eurozone can stage a recovery.
