UK Parliament Puts Brexit on Pause and the Pound in Limbo…

It’s risk-off early as Brexit limbo weighs through the early part of the session. With stats on the lighter side, it’s geopolitics throughout the day…
Bob Mason

Earlier in the Day:

It was another quiet day on the economic calendar through the Asian session this morning.

The Kiwi Dollar was in action early in the session, with September trade data providing direction.

For the Kiwi Dollar

According to NZ Stats, New Zealand’s monthly goods trade deficit narrowed from NZ$1,628m to NZ$1,242m in September.

  • Goods exports increased by 5.1% (NZ$216m) to NZ$4.5bn.
    • Milk powder led the rise, surging by 51% in value (NZ$160m).
    • Exports to China rose by 23% (NZ$227m) to NZ$1.2bn, with exports to the U.S rising by 6.3% (NZ$22m) to NZ$364m.
    • Exports to Australia, the EU and Japan fell in September.
  • Goods imports fell by 2.1% (NZ$122m) to $5.7bn.
    • Petroleum and products fell by 34% (NZ$252m) to NZ$492m in September.
    • Aircraft and parts fell by 48% (NZ$155m) to NZ$170m.
  • Year-on-year, the trade deficit narrowed from NZ$5,550m to NZ$5,210m.

The Kiwi Dollar moved from $0.64037 to $0.64042 upon release of the figures. At the time of writing, the Kiwi Dollar was down by 0.28% to $0.6387.


At the time of writing, the Japanese Yen was up by 0.18% to ¥108.30 against the U.S Dollar, while the Aussie Dollar was down by 0.28% to $0.6836.

The Day Ahead:

For the EUR

It’s another quiet day ahead on the economic calendar. There are no material stats due out of the Eurozone to provide the EUR with direction.

The lack of stats continues to leave the EUR exposed to Brexit chatter throughout the day.

At the time of writing, the EUR was down by 0.04% to $1.1120.

For the Pound

It’s also a quiet day ahead on the data front. There are no material stats due out of the UK to provide the Pound with direction.

A lack of stats leaves the Pound in the hands of the UK Parliament through the latter part of the day. The Pound continued to suffer in the early hours as Brexit hit pause. On Tuesday, MPs voted down the British PM’s schedule to deliver Brexit by Halloween. The good news for the Pound, however, was a Parliamentary vote in favor of Boris Johnson’s Withdrawal Agreement Bill, his first Parliamentary victory since taking office.

The loss of control over the timetable, however, could lead to continued debates on the Agreement Bill that may end up being voted down in the weeks ahead…

At the time of writing, the Pound was down by 0.18% to $1.2849, with Brexit limbo weighing.

Across the Pond

It’s a quiet day ahead on the economic calendar, with no material stats due out of the U.S to provide the Dollar with direction.

The lack of stats leaves geopolitics to provide direction throughout the day. Earnings will also influence risk sentiment and demand for the Greenback.

The Dollar Spot Index was up 0.04% to 97.564 at the time of writing.

For the Loonie

It’s also a quiet day on the economic calendar. Economic data is limited to August wholesale sales figures.

Barring particularly dire numbers, the stats will likely have a muted impact on the Loonie.

The weekly EIA inventory numbers due out later today will likely garner the greatest interest.

The Loonie was down by 0.10% at C$1.3108, against the U.S Dollar, at the time of writing.

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.