Risk appetite returns to markets propping up the Kiwi against most major currencies. The Pound however, is the best performing currency overnight as reports PM Theresa May is potentially nearing a Brexit deal ahead of the next Parliamentary vote tonight.
May Heads to Strasbourg to Seek Last Minute Deal as Brexit Nears
PM May rushed to Strasbourg to seek further concessions from the EU in a last-minute attempt to avoid another embarrassing defeat in parliament before the vote goes ahead tonight. Expectations rose that a delayed Brexit will narrow the odds that the UK will leave the EU without a deal, avoiding a ‘hard Brexit’ and resulted in the British Pound surging higher.
Federal Reserve Aired on 60 Minutes
The Federal Reserve Chair Jerome Powell remained upbeat on the outlook for the US economy in his interview with 60 minutes. Powell acknowledged increasing evidence of a slowdown in the global economy and said the Fed was in no rush to move on interest rates.
Oil Gains as Saudi Oil Minister Stands by OPEC Supply Cuts
Oil prices rose over 1% following Saudi Oil minister Khalid al-Falih indicated an end to OPEC-led supply cuts before June was unlikely. The policy shift towards more substantial cuts are part of a wider OPEC agreement that aims to prevent supply gluts. The group will meet in mid-April and again later in June to discuss policy.
US Retail Sales Rebound in January
US core retail sales rose 1.1% in January after a massive fall the previous month and was welcome news for the economy following a range of weak December data. Downward revisions to previous months took some of the shine off the January surprise gains, leaving expectations for a slowdown in US consumer spending in the first quarter intact.
Upcoming Data Announcements
Australian NAB Business Confidence
US Inflation released tonight
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