Italy Panic Is Bad for U.K. as EU Seeks Brexit Consequences
The crisis in Italy could be bad news for Britain.
Italians’ flirtation with parties critical of the European Union is reminding the bloc why it wants to show the U.K. what it will lose with Brexit. It doesn’t want Britain to enjoy the same benefits of membership once it’s gone in case it tempts others to follow.
The turmoil in Italy will only strengthen EU governments’ resolve that the U.K. suffer the consequences of its decision, three people familiar with the Brexit negotiations said. What makes it worse for the U.K. is that the Italian crisis, with an early election looming, coincides with the most crucial time in the U.K.’s withdrawal process. Read More @ https://www.bloombergquint.com/politics/2018/05/30/italy-panic-is-bad-news-for-u-k-as-eu-seeks-brexit-consequences
EU – BREAKING EU’s Juncker says tariffs totally unacceptable BREAKING EU’s Malmstrom on US tariffs: EU’s response will be proportionate and in accordance with WTO rules: RTRS BREAKING European Commission reacts to the US restrictions on steel and aluminium affecting the EU The US announced that starting on 1 June 2018 it will impose additional duties of 25 % and 10 % respectively.
U.S. allies hit back at Washington’s steel, aluminum tariffs
Canada and Mexico retaliated against the United State’s decision on Thursday to impose tariffs on steel and aluminum imports and the European Union had its own reprisals ready to go, reigniting investor fears of a global trade war. Read More @ https://www.reuters.com/article/us-usa-trade-metals-europe/u-s-allies-hit-back-at-washingtons-steel-aluminum-tariffs-idUSKCN1IV2TN?feedType=RSS&feedName=businessNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FbusinessNews+%28Business+News%29
WHAT IS THE USD INDEX SAYING?
The USD is forming a Bullish Flag however the overall picture looks bearish – Trade War may drag the USD to the south and CNH to rally. Be cautious and always focus on Money Management.
TODAYS NEWS THAT MIGHT AFFECT THE TECHNICAL TRADES.
- 9.45am – China will release the CAIXIN MFG and is expected to be good.
- 2.30pm – Australia will release commodity prices and is expected to be no change.
- 3pm – 4.30 – Italy, Spain, Germany and Euro will release the PMI and is expected to be good after yesterday CPI improves. We are moving from selling EURO to BUY only next week – for now we still maintain SELL.
- 8.30pm – NFP & HOURLY EARNINGS expected to be good. We maintain BUY for USD.
- 9.45 – 10.00pm – US will release their manufacturing data and is expected to be good.
USD will go under pressure as the G7 goes head-on with Trump Tariffs. We will wait and see till there is a clear direction for a Trade – for now USD technically very strong.
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