The UK general election landscape will soon become clear as the final list of candidates will be announced today. Nigel Farage said his Brexit party will not contest Conservative Party seats on 12 December, but everyone is waiting to see where he will strike. Tories were worried that Farage would field candidates in all constituencies, taking potential voters away from them and opening the door for Jeremy Corbyn’s Labour Party.
As soon as the final list is in place, five weeks of election campaigns can begin.
Latest data releases and market reactions
Wednesday, 13 November
09:30 – UK consumer price index for October (CPI; y/y) – Previous: 1.7%; Forecast: 1.6%
If CPI comes out as expected at 1.6 per cent or lower, the Pound could be in for some volatility. The further inflation falls below the central bank’s 2 per cent target rate, the sooner the Bank of England (BoE) will be required to intervene. A number of central banks across the globe have already cut their interest rates to try and stimulate price growth. Will the BoE follow suit and if yes, when?
13:30 – US CPI for October (y/y) – Previous: 1.7%; Forecast: 1.7%
The latest US inflation data comes after the Federal Reserve cut rates for the third time since June. Typically, we would expect to see an uptick in inflation as a result, so it remains to be seen if the figure will still be below the Fed’s 2 per cent target rate.
Thursday, 14 November
10:00 – EU preliminary Q3 GDP (y/y) – Previous: 1.1%; Forecast: 1.1%
The GDP release for the third quarter follows the European Commission’s cut of the Eurozone growth forecast for 2019 to 1.1 per cent on 7 November. The EC said that “the European economy has entered a protracted period of subdued growth and low inflation”. If the release misses the forecast, the Euro will come under pressure as new European Central Bank (ECB) President Christine Lagarde has a big job on her hands to try and stimulate the flagging EU economy.
Is Britain on a roll?
Trade war impact closer to home