UK PM Johnson: People should work from home – Telegraph

Ross J Burland FXStreet

The Telegraph reports that UK PM Johnson told MPs that he will be telling Britons Tuesday that “people should work from home if you can”.

Market implications

Robust, if localised, restrictions will be undermining growth expectations, but the UK is not alone in this.

COVID-19 infection rates in many major European economies are also rising sharply, so the focus for the pound could be mostly subsequent of Brexit headlines.

The absence of progress in the bilateral UK-EU trade talks isn’t helping sentiment for sterling which dropped out of the bottom vs the greenback at the start of the week, falling in line with prior analysis as follows:

GBP/USD Price Analysis: Testing strong resistance area, bears waiting to fade

GBP/USD holds below 1.28 level

The price of the pound may have reached a limit to the downside and an upside correction might be expected at this juncture.

GBP/USD breaks below 1.28 to test a critical support structure

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

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