Carney to give clarity on hard Brexit and UK economy

Mark Carney’s name is a popular topic for many at the moment, and today he will face the music as he answers questions from the House of Lords Economic Affairs Committee regarding the UK’s decision to leave the EU.

With varying questions already being posed towards Carney, he is expected to give clarity on what impact a hard Brexit would have on the UK economy and the city of London. He will also face questions over his relationship with Theresa May, after the PM last week criticised Carney, accusing the Bank of England (BOE) of misjudging its handling of policies and the short term impact of Brexit.

Markets trade sideways

Currency markets traded predominantly sideways on Monday, but with a mild bid tone to underpin the US dollar late in the day, after the US Manufacturing PMI beat expectations to reach a 12 month high. Early in yesterday’s session, it was Eurozone Manufacturing PMI data which came in better than forecasted, however it had little movement on the pound as it remained firm, despite the pressure.

Data to come

There is little to excite the market today, until the release of the German IFO Business Climate/Expectations which are out at 9am. Later in the day we have some secondary US Consumer Confidence data. Aside from this, it will be all eyes on Carney as he speaks at 3.30pm, with the markets set to trade fairly range bound all day.