 |
The British pound opened today’s trading day mostly unchanged against the Norwegian krone. This comes after posting significant gains yesterday, following reports that show a better outlook for Tories.
Most polls show that Jeremy Corbyn is unlikely to win the general election. But they also show that the Labour Party is narrowing the gap with the Tories. The public that tends to agree with some of the main points of Corbyn’s campaign.
Corbyn has pledged to nationalize industries such as rail, energy distribution, the postal service, water, and even telephone and internet providers, with a 2017 poll showing public support of over 50% for the idea — except for bringing the broadband network under public control.
Another key issue during the election campaign, the UK’s National Health Service, won’t be part of post-Brexit trade deal negotiations between the UK and the US, said US President Trump in a recent comment. “I don’t even know where that rumor started”, Trump told reporters at a press conference in London ahead of the NATO summit.
Market reports of note for today include the UK Final Services PMI for November, with a consensus forecast of 48.6 points — in line with the previous month’s number.
Slightly higher oil prices could somewhat support the Norwegian krone throughout the day. At the time of writing, Brent crude was up around 0.55% to trade at $62.15.
From a technical standpoint, the pound was reaching near multi-year highs against the krone as the pair traded at 11.9470, as of 7:10 a.m. London time. The October 29 high of 11.97 is the last barrier that stands between the pair and pre-Brexit levels.
While the December 2 low of 11.82 could provide some support for the pair, headline risks continue to be a threat for sterling in the short run.
|
