Dissing the dollar while it is down
- Sometime actor and US Treasury Secretary-aspirant Mnuchin stated an "excessively" strong dollar is not in the interest of the US. International investors want to wait and see what appears on the Trump twitter feed before investing in the US. In the absence of a USD 2.7bn per day inflow, the dollar declines.
- Inevitably, the US exited the Trans-Pacific Partnership on trade at a stroke of the president's pen (US presidents have considerable destructive power on trade). President Trump stated his intention to put a "very major" tax on US consumers via a border tax.
- The UK Supreme Court ruling on whether Parliament needs to vote on invoking Article 50 is due today. Parliament will vote to exit the EU if asked, so the point is a little academic. The question is whether the government can start divorce proceedings before 1 April.
- Several purchasing manager opinion polls are due today in the euro area and the US. Markets give these figures more attention than they should.