Sterling gets choppy as Commons takes centre stage
It is all about politics in the markets at the moment.
Share this:
Sterling gets choppy as Commons takes centre stage
It is all about politics in the markets at the moment. As the Boris Johnson government has progressively lost control of the situation, so sterling has rallied. It now looks more likely that a coalition of rebel Conservative MPs and opposition parties will take a no deal Brexit off the table with legislation, which was what the market was hoping for.
The pound climbed from around 1.218 vs the USD last night to hit 1.226 before slumping again in overnight trade. It saw a big tactical sell off from overnight levels down to 1.2215 before starting to stage another rally. This is the sort of volatility in sterling we were expecting in what is a dramatic week in UK politics.
The next obstacle will be whether Labour will rise to Johnson’s challenge of an election in October..
US and China agree to Washington sit down talks
The US and China will be re-starting trade talks next month. There had been very little obvious progress in these talks over the summer months. The decision has been take to hold ministerial-level talks in Washington, which some analysts regard as evidence that both sides are creeping closer to something more substantive.
The news had an immediate impact on Asian markets, with the CSI 300 index of leading Chinese stocks rising 1.8%. Japan’s Topix index was also up more than 2%. Right now both sides are nowhere close to where they were in April, but the US economy is starting to feel the pain from the Chinese tariffs, particularly states with a heavy agricultural bias.
FTSE marginally lower but Melrose surprises
The FTSE has opened slightly down this morning, giving up almost all over yesterday afternoon’s final surge. Melrose Industries was up over 7% following better than expected first half numbers. The company also said it would be raising its dividend by 10%.
It is all about politics in the markets at the moment. As the Boris Johnson government has progressively lost control of the situation, so sterling has rallied. It now looks more likely that a coalition of rebel Conservative MPs and opposition parties will take a no deal Brexit off the table with legislation, which was what the market was hoping for.
The pound climbed from around 1.218 vs the USD last night to hit 1.226 before slumping again in overnight trade. It saw a big tactical sell off from overnight levels down to 1.2215 before starting to stage another rally. This is the sort of volatility in sterling we were expecting in what is a dramatic week in UK politics.
The next obstacle will be whether Labour will rise to Johnson’s challenge of an election in October..
US and China agree to Washington sit down talks
The US and China will be re-starting trade talks next month. There had been very little obvious progress in these talks over the summer months. The decision has been take to hold ministerial-level talks in Washington, which some analysts regard as evidence that both sides are creeping closer to something more substantive.
The news had an immediate impact on Asian markets, with the CSI 300 index of leading Chinese stocks rising 1.8%. Japan’s Topix index was also up more than 2%. Right now both sides are nowhere close to where they were in April, but the US economy is starting to feel the pain from the Chinese tariffs, particularly states with a heavy agricultural bias.
FTSE marginally lower but Melrose surprises
The FTSE has opened slightly down this morning, giving up almost all over yesterday afternoon’s final surge. Melrose Industries was up over 7% following better than expected first half numbers. The company also said it would be raising its dividend by 10%.
Please note these products may not be available to trade in all regions.
Sterling gets choppy as Commons takes centre stage
It is all about politics in the markets at the moment. As the Boris Johnson government has progressively lost control of the situation, so sterling has rallied. It now looks more likely that a coalition of rebel Conservative MPs and opposition parties will take a no deal Brexit off the table with legislation, which was what the market was hoping for.
The pound climbed from around 1.218 vs the USD last night to hit 1.226 before slumping again in overnight trade. It saw a big tactical sell off from overnight levels down to 1.2215 before starting to stage another rally. This is the sort of volatility in sterling we were expecting in what is a dramatic week in UK politics.
The next obstacle will be whether Labour will rise to Johnson’s challenge of an election in October..
US and China agree to Washington sit down talks
The US and China will be re-starting trade talks next month. There had been very little obvious progress in these talks over the summer months. The decision has been take to hold ministerial-level talks in Washington, which some analysts regard as evidence that both sides are creeping closer to something more substantive.
The news had an immediate impact on Asian markets, with the CSI 300 index of leading Chinese stocks rising 1.8%. Japan’s Topix index was also up more than 2%. Right now both sides are nowhere close to where they were in April, but the US economy is starting to feel the pain from the Chinese tariffs, particularly states with a heavy agricultural bias.
FTSE marginally lower but Melrose surprises
The FTSE has opened slightly down this morning, giving up almost all over yesterday afternoon’s final surge. Melrose Industries was up over 7% following better than expected first half numbers. The company also said it would be raising its dividend by 10%.
It is all about politics in the markets at the moment. As the Boris Johnson government has progressively lost control of the situation, so sterling has rallied. It now looks more likely that a coalition of rebel Conservative MPs and opposition parties will take a no deal Brexit off the table with legislation, which was what the market was hoping for.
The pound climbed from around 1.218 vs the USD last night to hit 1.226 before slumping again in overnight trade. It saw a big tactical sell off from overnight levels down to 1.2215 before starting to stage another rally. This is the sort of volatility in sterling we were expecting in what is a dramatic week in UK politics.
The next obstacle will be whether Labour will rise to Johnson’s challenge of an election in October..
US and China agree to Washington sit down talks
The US and China will be re-starting trade talks next month. There had been very little obvious progress in these talks over the summer months. The decision has been take to hold ministerial-level talks in Washington, which some analysts regard as evidence that both sides are creeping closer to something more substantive.
The news had an immediate impact on Asian markets, with the CSI 300 index of leading Chinese stocks rising 1.8%. Japan’s Topix index was also up more than 2%. Right now both sides are nowhere close to where they were in April, but the US economy is starting to feel the pain from the Chinese tariffs, particularly states with a heavy agricultural bias.
FTSE marginally lower but Melrose surprises
The FTSE has opened slightly down this morning, giving up almost all over yesterday afternoon’s final surge. Melrose Industries was up over 7% following better than expected first half numbers. The company also said it would be raising its dividend by 10%.
Please note these products may not be available to trade in all regions.
Latest market news
Open an account in minutes
Experience award-winning platforms with fast and secure execution, and enjoy tight spreads from 0.5 pts on FX and 0.3 pts on indices.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
AUD/USD Q4 Outlook: RBA and Fed Hikes Set the Tone
AUD/USD enters Q4 with RBA and Fed hikes in focus as sticky inflation, rising unemployment and US dollar strength shape the Australian dollar.
USD/JPY Q4 2026 Outlook: Hawkish Fed Pricing Clashes With Intervention Risk
The year-end tug-of-war is clear: hawkish Fed pricing supports USD/JPY, while intervention risk limits the upside.
Japanese Yen Forecast: USD/JPY 4% Rally Challenges Post-Intervention Downtrend 9 24 2026
USD/JPY momentum has shifted sharply higher, putting a major resistance confluence in focus as U.S. and Japanese event risk builds.
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
StoneX Financial Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the StoneX group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), StoneX Financial Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact StoneX Financial Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither StoneX Financial Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
StoneX Financial Pte. Ltd. is not under any obligation to update this report.
Trading CFDs carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit www.forex.com/en-sg/terms-and-policies for the complete Risk Disclosure Statement.