After the GOP leaders postponed the vote on healthcare overhaul and delayed it to Friday, all eyes were on the event where the US House of Representatives were finally unable to agree on an alternative to the Affordable Care Act. The weekend headlines have rocked the markets at the open today with the dollar down against most of its rivals. "The healthcare failure called into question not only Trump's ability to get other key parts of his agenda, including tax cuts and a boost in infrastructure spending, through Congress, but the Republican Party's capacity to govern effectively," read an article by By David Lawder and Steve Holland at Reuters.
Elsewhere, The Organization of the Petroleum Exporting Countries and rival oil-producing nations met this weekend in Kuwait to review progress with their global pact to cut supplies. The ministers from OPEC and non-OPEC oil producing nations have agreed to review whether a global pact to limit supplies should be extended by six months. The original deal was to last six months, with the possibility of a six-month extension but there needs to be conformity with everybody for an extension to be agreed. If there is no extension, long positions could be unwound by a disappointed market pressuring the price of oil lower again.
On the political front for Europe, the weekend gave the pro-Europeaners a win with German Chancellor Angela Merkel’s party easily victorious in the elections in the western state of Saarland. This is only underscoring the challenge ahead facing Merkel's Social Democratic rivals as they seek to deny her a fourth term in September.
Ahead of the 2017 federal election sin Germany, this was the first test of Merkel's voter support. Her Christian Democratic Union took more than 40 percent to about 30 percent for the Social Democrats, according to projections by broadcasters ARD and ZDF after Sunday’s vote. The Left Party was projected third by winning 12-13 percent, while the anti-immigration Alternative for Germany at about 6 percent.
EUR/USD: early rally through key 1.0830, eyes on 1.0875 and 1.0935
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD holds gains above 1.0700, as key US data loom
EUR/USD holds gains above 1.0700 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
GBP/USD extends recovery above 1.2500, awaits US GDP data
GBP/USD is catching a fresh bid wave, rising above 1.2500 in European trading on Thursday. The US Dollar resumes its corrective downside, as traders resort to repositioning ahead of the high-impact US advance GDP data for the first quarter.
Gold price edges higher amid weaker USD and softer risk tone, focus remains on US GDP
Gold price (XAU/USD) attracts some dip-buying in the vicinity of the $2,300 mark on Thursday and for now, seems to have snapped a three-day losing streak, though the upside potential seems limited.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
US Q1 GDP Preview: Economic growth set to remain firm in, albeit easing from Q4
The United States Gross Domestic Product (GDP) is seen expanding at an annualized rate of 2.5% in Q1. The current resilience of the US economy bolsters the case for a soft landing.