There has been no progress in recent trade negotiations between the UK and the EU
In the presence of the House of Commons meeting, the Deputy Secretary of the Cabinet Office of the United Kingdom, Modangte, said that there was no progress in recent trade negotiations with the EU. The two sides still have differences in principle in fisheries and market competition regulations and standards. He emphasizes that need to speed up negotiations and reached a consensus. He also believes that Prime Minister Johnson will not ask for an extension of the transition period of the “Brexit” trade talks, because only by giving the business community a clear future can it help the British economy recover. In the near future, the market hopes that the British and European parties will accelerate the progress of negotiations and drive the performance of the British pound. However, because the differences in trade between the two sides are still large, and the outcome of the talks is still variable, it should not be overly optimistic for the time being.
The U.S. CPI rose by only 0.1% in May, the lowest since 2015
In May, the US consumer price index (CPI) rose by only 0.1% year-on-year, which was lower than the market expectation of 0.3%, a new low since September 2015, and the previous value rose by 0.3%. During the period, the core CPI excluding food and energy increased by 1.2% year-on-year, which was lower than the market expectation of 1.3%. The data reflects the Fed’s expansion of its balance sheet, which has not yet affected inflation. However, the market generally predicts that with the gradual resumption of production in the United States, the slow recovery of gasoline and aviation services, coupled with a sharp rebound in oil prices, will help to gradually lift inflation.
Z. com Bullion is an affiliate of GMO Financial Holdings, Inc., a Japanese listed group. The risk of loss in leveraged foreign exchange trading & margin trading can be substantial. Visit the company website to read full risk warning. https://bullion.z.com/en/about/legal/risk/