Feds Comments will be key – Big Picture – 18th March
There is quite some expectation that Fed Chair Powell will deliver a dovish speech on Wednesday. There has already been several comments regarding the slow down in World growth plus the recent US reports have been showing signs of this slow down. Two things I would point out here, much of this may have been priced in and most other countries are in a worse position.
The lack of any agreement in Parliament for Brexit leaves the UK at the mercy of Europe in terms of the length of the extension and any conditions applied. It is beginning to look unlikely that PM May’s deal will get voted on a third time, as anti-Brexiteer Speaker Bercow has suggested there cannot be a vote on a unchanged deal. Expect more volatility ahead with the most volatility in the pound pairs.