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By xemarketanalysis November 25, 2016 10:40 am
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    UK Economy Defies Brexit Forecasts

    OVERVIEW

    • Black Friday and a Thanksgiving hangover has led to quiet markets today with currencies generally falling flat.
    • The second estimate of Q3 UK GDP was unchanged at 0.5%, confirming the UK economy is performing well.
    • U.S. stock markets hit fresh record highs as the rally continues. 

    HIGHLIGHT

    UK GDP growth in the three months during and following the UK referendum was a solid 0.5%, with surprising growth from business investment and net trade.

    US DOLLAR

    The Dollar remains strong in quiet trade as the US markets are effectively closed for another day.

    BRITISH POUND

    The Pound is steady today after its best run of weekly gains in the past 18 months. The second estimate of Q3 growth for the UK was unchanged at 0.5%, an impressive figure considering the amount of uncertainty around the UK economy vote to leave the EU. 

    EURO

    The Euro ends this week close to it's worst level against the Dollar in over a year. Political rhetoric and potential instability ahead of the Italian referendum, and then French elections, have made the Euro undesirable for investors. We do not see this changing dramatically in the short term.

    CANADIAN DOLLAR

    A slump in oil prices has dragged the Loonie lower today. Markets are uncertain about the potential for any cut in output coming out of the OPEC meeting in Vienna next week.

    AUSTRALIAN DOLLAR

    The Aussie Dollar is stronger today after commodity prices move higher, and investors continue to look for yield, regardless of the geo-political uncertainty currently in play. 

    FEATURED CURRENCY

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