The Asian session this Wednesday was dominated by the GBP sellers, hammering cable and GBP crosses across the board, as the UK PM May is set to pull the trigger to formalize Britain’s exit from the EU later today, after she signed the Article 50 letter earlier on the day. Meanwhile, the US dollar consolidated the previous heavy gains, leaving most majors in tight trading ranges.
In the day ahead, all eyes will remain on the developments surrounding the Article 50 trigger by the UK PM Theresa May, with the Article 50 letter already signed by May to be delivered by Tim Barrow today at 11:30 GMT. Thereafter, the European Council (EC) President Donald Tusk will hold a press conference at 13:45 GMT on the UK Article 50 notification.
On the data-front, we have a light session ahead, while the pending home sales data will be reported in the NA session. Also, FOMC member Evans speech is due on the cards later today.
Main topics in Asia
GBP/USD and crosses beaten up as Brexit looms
Sterling crosses are taking a beating with GBP/USD extending losses, GBP/JPY to a lesser degree, although EUR/GBP spiking on the day so far to 0.8763, and GBP/AUD on its knees to 1.6179 so far.
China Beige Book: Economy steady for now, but concern on momentum
China Beige Book International published earlier on the day showed that the Chinese economy held steady in the first quarter.
Gold offered near $ 1252 in Asia, despite Brexit concerns
Gold prices on Comex stalled its minor overnight recovery mode and resumed declines in the Asian session, as positive equities and treasury yields dampen the safe-haven demand for the bullion.
Trump: Important to get infrastructure done
The US President Trump was on the wires earlier today, via Reuters, speaking at a reception for senators.
Key focus for the day ahead
All you need to know about UK’s Article 50 trigger
The historic triggering of the Article 50 by the UK PM Theresa May is just a few hours away, with the PM having already signed the Article 50 letter, which will be delivered by Tim Barrow today at 11:30 GMT.
EC’s Tusk to release draft Brexit guidelines for Barnier by end of Friday - BBG
According to three people familiar with the matter, the European Council (EC) President Donald Tusk is expected to publish draft guidelines for Brexit Chief Barnier by the end of this week after the UK PM May triggers the Article 50 today, Bloomberg reports.
UK: Time has finally come for Theresa May to trigger Article 50 - TDS
Research Team at TDS points out that the time has finally come for Theresa May to trigger Article 50, kicking off a two-year negotiating period with the rest of the European Union (EU27).
Trump said to meet with Cohn on Thursday to discuss tax overhaul - BBG
Bloomberg quotes three people familiar with the meeting that the US President Trump is expected to meet with Gary Cohn, head of the National Economic Council, on Thursday to discuss tax overhaul.
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