Upcoming Brexit Vote Strengthens Sterling – 14 January, 2019

Due to a slowdown in global growth, expectations that the Federal Reserve will raise interest rates weakened, coupled with ongoing Chinese trade talks, have caused the dollar to dip. The dollar index fell by 0.12 percent to 95.48, with Interest rate futures markets keeping prices with the assumption that 2019 will see no rate hikes. Against the dollar, the euro strengthened by 0.1 percent to $1.1485. Sterling strengthened ahead of Prime Minister Theresa May’s parliament votes casting this week in which she must secure a vote from parliament for her Brexit plan in order to avoid a potentially chaotic exit from the EU. Sterling rose 0.3 percent to $1.2901.