There were no data releases from the UK yesterday, with Pound going lower after Monday's rebound. The polls for the Brexit vote point to an ever-closer race between the stay and go sides. Several economists and financial institutions have expressed concerns that a goodbye to the EU would hit U.K. economic growth and significantly weaken the pound. Action in the options markets shows “that anxiety toward Brexit is rising,” and investors are seeking protection, Marc Chandler, global head of currency strategy at Brown Brothers Harriman said in a Wednesday note. “It warns that sterling’s upside correction seen this month through the end of last week is over. New losses should be anticipated.”
In the US session CB Consumer Confidence figures were published. The Conference Board Consumer Confidence Index, which had decreased in February, improved in March. The Index now stands at 96.2 (1985=100), up from 94.0 in February. Analysts were anticipating reading of 93.9. The Present Situation Index declined moderately from 115.0 to 113.5, while the Expectations Index increased from 79.9 to 84.7 in March.
There will be no data releases from the UK on Wednesday. In the US session ADP job figures will be published. Analysts forecast increase by 194,000.
Figures to watch:
ADP Non-Farm Employment Change (Wednesday 13:15)
