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The no progress on Brexit talks further weakens the GBP

USD index goes higher overnight after Powell says the economy have strengthen since December. And the comments are adding more hawkish tone for the market despite 3 hikes already priced in. But some talking 4 hikes chances after the speech which leads to a higher UST yield (10 years to 2.9209%) and lower DJI (-299 points or 1.16% at 25410.03). Which lead some short covering on USD position. The Asian session in acting trend extension except for USDJPY that pulls back from 107.50 to 107 off the headlines of BOJ cutting 25 years JGB buying from 80 billion YEN to 70 billion YEN that resulted in leading some renew talk of rate normalization and move still in orderly.

EUR lowers down after the break prior to a 1.2260 low that driven some short term selling with downside support at 1.2200 and 1.2150. And much cautious in the market ahead of weekend Italian election and Germany SPD vote.

GBP weakening further after EU says no progress on Brexit talks since December. And also with the effect of EU exit bill for UK which might not be fitting to Theresa May request.

Commodity currenciesAUD/ NZD / CAD) lowering gradually in reflection still of broad USD move.

Today Germany unemployment rate, Eurozone CPI, US Q4 GDP annualized, personal consumption expenditures and Powell 2nd day speech as well as stock/bond market move will dominate the intraday action.

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    At Hantec Global Ltd we provide an execution only service. Any opinions expressed by analyst Richard Perry should not be construed as investment advice or an investment recommendation. This report does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. Forex and CFDs are leveraged products which can result in losses greater than your initial deposit. Therefore you should only speculate with money that you can afford to lose. Please ensure you fully understand the risks involved, seeking independent advice if necessary prior to entering into such transactions.