Sterling remains in a tight range in early trading, down slightly against the euro as Brexit concerns begin to surface again. Yesterday it was reported that the EU commission would like to stop the UK from joining the 2007 Lugano convention. The Lugano agreement determines which countries have jurisdiction over cross-border civil and commercial disputes.
The Euro has lost ground against the dollar after German IFO business report released this morning came in below expectations. The business climate index worsened to 99.4 in August below the expected 100.4. The IFO index indicates company projections for the next six months.
The dollar index which tracks the greenback against 6 currency peers rose to 93.05 in Far East trading, after falling to its lowest level in 2 weeks yesterday. Traders next focus will be on the release on durable goods orders for July which is published later today.