Italy on verge of government deal

  1. Media suggest that the 5SM and the League are on the verge of forming a government in Italy.
  2. The main positions of the parties seem to concentrate on tax cuts and social welfare spending, while there seems to be a dispute about who the actual PM candidate will be.
  3. The two parties seem to be on collision route with Brussels and could provide uncertainty in the Eurozone if they come to power.
  4. Should there be further headlines about the programs of the two parties colliding with Brussels, we could see the EUR weakening.

UK will not ask for longer Brexit period

  1. Cabinet Office minister Lidington stated yesterday that Britain will not ask for an extension of the Brexit transition period when it will publish it’s detailed plans about the future relationship with the EU next month.
  2. On the other hand UK PM May could face some when she meets her EU peers before the EU summit next month.
  3. Overall EU diplomats are alarmed at the minimal progress made, after the March breakthrough.
  4. Should there be further negative headlines for the issue we could see the pound weakening.

Today’s other economic highlights

  • Eurozone: Trade Balance for March, Survey:N/A Prior: 18.9b, 09:00 (GMT), any reading> 18.9b could support the EUR
  • US: Philly Fed Business Index for May, Survey: 21.0 Prior: 23.2, 12:30 (GMT), could weaken the USD
  • Initial jobless claims, Survey: 215k Prior:211k, 12:30 (GMT), could weaken the USD
  • Speakers: ECB’s Vittor Costancio, Minneapolis Fed President Neel Kashkari, MPC member Andy Haldane and Dallas Fed President Robert Kaplan speak

IronFX Daily Report ‘May 17th’

1

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4.9 rating based on 1,166 ratings
4.9/5 1166
2

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4.9 rating based on 143 ratings
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3

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3.5 rating based on 93 ratings
3.5/5 93
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3.6 rating based on 99 ratings
3.6/5 99
5

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3.9 rating based on 43 ratings
3.9/5 43
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3.9 rating based on 7,130 ratings
3.9/5 7130
2

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4.3 rating based on 7,662 ratings
4.3/5 7662
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bybitbybit

4.2 rating based on 3,323 ratings
4.2/5 3323
4

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1.9 rating based on 4,447 ratings
1.9/5 4447
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WisebitcoinWisebitcoin

3.3 rating based on 4,701 ratings
3.3/5 4701