For seven consecutive days the British pound has continued to decline against the reserve currency. Theresa May has three days to agree on the terms of the Brexit deal and enlist the support of Parliament. In the worst case, this will be a protracted political chaos, which will also have significant economic consequences.
Donald Trump continues to rock the boat - this time the Head of the White House thought that the host countries in NATO rely on the US financially, which is not the best prospect for NATO allies. Perhaps this is an attempt to reduce US military spending and send more money to the US budget, but Germany, as one of the main allies, is unlikely to be happy with such a decision. Considering that after yesterday’s publication by the ECB of a decision on interest rates and a report on the state of the EU economy, the EUR/USD pair fell to its lowest level in 21 months.
The released data from China shows a sharp decline and a slowdown in economic growth. The volume of imports and exports fell sharply and showed worse results than expected, and the trade balance for February was only 4.12 billion dollars, instead of the projected 26.38 billion.
