Chief EU negotiator Barnier has said that ‘serious’ differences remain between the UK and EU after the first round of trade negotiations concluded, whilst also calling the UK’s proposals on fishing ‘impractical’. Despite this, Barnier did acknowledge that a good deal is possible for both parties, which has given the Pound some support for the time being.
Prime Minister Johnson has held a meeting with Chancellor Sunak and Bank of England Governor Carney to discuss what economic measures need to be taken in order to alleviate the impact of the coronavirus.
German factory orders for the month of January came out much better than expected at 5.5% compared to the expected figure of 1.5% which has given the Euro some renewed strength. However, this figure represents the economic climate before the coronavirus spread across Europe, which companies reporting disruptions to their supply chains and reduced demand since then.
The Dollar continued to weaken as US factory orders disappointed the market with a release of -0.5%. US non-farm payrolls, average earnings and the unemployment rate are all due to be released at 1:30pm this afternoon, which is likely to cause some volatility.