ALANFX: The Brexit agreement is signed to appreciate the Pound_UK

Original title: ALANFX: Signing of the Brexit agreement to appreciate the pound sterling

While the UK and the European Union signed a trade deal in Brussels, Westminster is ready to approve the deal. The pound has performed well, while investors are indifferent to further delays in much-needed financial relief from the United States and are skeptical of British approval of the AstraZeneca coronavirus vaccine is welcome. After the leaders of the European Commission and the Council of the European Union signed the trade agreement between the UK and the EU in Brussels, the pound rose against all major currencies and the market favored risky assets such as stocks. and raw materials. The House of Commons and House of Lords will vote on Wednesday to pass the bill before the end of the Brexit transition period shortly before midnight on December 31. Both the opposition Labor Party and the Conservative European Research Group, which supports Brexit, have stated that they will vote for the treaty to ensure it becomes law. ALANFX said the GBP / USD trade center in 2021 is 1.3700, but the risks to the upside indicate that GBP / USD may be close to 1.4000 in the coming months, and GBP / USD is still undervalued.

The annual growth rate of house prices in the UK accelerated further in December, reaching a six-year high of 7.3%, up from 6.5% last month. Median home price in December rose to £ 230,920 ($ 313,473). The resistance seen in recent quarters seems unlikely at the start of a pandemic. In fact, activity in the property market came to a near complete halt during the first lockdown as the overall economy contracted by an unprecedented 26%. However, since then, the demand for real estate has been driven by a series of policy measures, and in the aftermath of the pandemic, people’s preferences have also changed.

The UK-EU trade deal follows in the footsteps of the coronavirus vaccine produced by AstraZeneca and the University of Oxford, which was approved for use in the UK on Wednesday following recommendations from the Medicines and Products Administration. Healthcare (MHRA). In this global pandemic, we always follow the latest scientific advice. After studying the evidence from Pfizer / Biotech and Oxford University / AstraZeneca vaccines, it is recommended to prioritize giving the first dose of the vaccine to as many people in the at-risk population as possible rather than giving all vaccines in the shortest possible time. Each of the two doses of vaccine needed will continue to receive your second dose, which will be the first in 12 weeks. Completion of the second dose of treatment is important for long-term protection. Health Minister Matt Hanckock has said the vaccine will “provide a way out of the epidemic” by spring 2021, but on Wednesday there was also speculation that further restrictions on activities and freedom could be around the corner. . .

The government has forced to re-close minor businesses in many parts of the country, despite the Health Minister’s suggestion that more severe measures may be required as new, more contagious variants of the coronavirus spread in the country. The resumption of a full national “lockdown” in January will delay the economic recovery from the last quarterly contraction that economists had anticipated.

However, considering the scope of existing measures elsewhere, and as more countries find examples of mutant virus strains, new restrictions may be introduced abroad. It is not clear if further restrictions can curb interest in the pound. . The threats to the recovery of the UK and the world economy are increasing. At the same time, the urgent need for financial assistance from American households has once again stalled in Washington, although none of these measures have prevented currencies and other risky assets from rebounding Wednesday morning.

With the impact of the influenza pandemic on economic activities, the downside to the real economy is increasing. Colorado has reported the first case of a fast-spreading variant of the novel coronavirus in the United States first discovered in the United Kingdom. The United States and parts of Europe continue to implement new restrictions and blockades. ALANFX said Senate Majority Leader McConnell yesterday undermined swift approval to increase direct stimulus spending for adults and children whose total adjusted income is less than $ 75,000 from $ 600. In an effort to reach $ 2,000 President Trump asked to do so, but a majority of Republicans objected.

Source: financial industry websiteReturn to Sohu to see more