A new poll which suggests that the lead held by the UK's Conservative Party seems to be narrowing has resulted in a loss for the Pound against the Dollar. The Labour Party is now only 11 points behind the Tories as compared to 18 points in earlier polls. Though a Conservative party win could almost certainly mean a no-deal Brexit, market uncertainty is likely to be resurrected as a result. Analysts say that a win by the Labour party would mean a softer Brexit but would also mean a radical agenda could be the result.
As of 11:04 am in London, the GBP/USD was trading lower at $1.2854, down 0.3388% and moving off the session trough of $1.28507. The EUR/GBP was trading up at 0.857 Pence, a gain of 0.396%; the pair has ranged from a low of 0.85236 Pence to a high of 0.85759 Pence in today's trading day.
US Data to Drive Dollar
Two days of data coming out of the United States could shift market attention across the pond. Later today, markets will be watching for housing data, as well as consumer confidence and a speech from one of the Federal Reserve bank's key governors, Lael Brainerd. Housing prices are expected to have remained flat at 0.2% in September, while the S&P/Case-Shiller report will likely show a a slight rise in the indices to 2.1% from 2.0%. Tomorrow, a preliminary 3rd quarter GDP reading should be flat at 1.9% annualized.