The pound keeps weaker after Brexit comments by UK PM Johnson
Boris Johnson offered a reminder to markets that Brexit is not a done deal just yet despite the election result last week. The persistent threat of a no-deal Brexit will still be there and that has weighed on the pound to start the day.
Stops were also taken out under 1.3300, which accelerated the fall towards a low of 1.3236 for cable before price bounced back to hug the 100-hour MA around 1.3290.
Meanwhile, the aussie is weighed lower after the RBA minutes hinted at more softness but the technical rejection at the 200-day MA continues to be an issue for AUD/USD buyers.
The rest of the major currencies are keeping more steady in narrow ranges amid the lack of directional moves in the risk mood today. US futures and bond are keeping more flat, leaving little for traders and investors to work with as we begin the session.
Looking ahead, keep an eye on the pound and aussie as their respective individual themes play out. Apart from that, markets should continue to digest the US-China trade rhetoric in general with one eye fixed on the holidays next week.
