Investing.com – The pound stabilised on Wednesday after falling on Tuesday night when the british Parliament has overwhelmingly rejected the agreement of the First minister Theresa May on the Brexit. The u.s. dollar, meanwhile, was generally unchanged.
The GBP / USD rose 0.17% to 1,2865 to 11.07 (16: 07 GMT), after falling to 1,2667 Tuesday evening.
The House of commons has voted to 432-202 against the agreement of May, leaving some uncertainty about the future projects in the country to leave the EU on the 29th of march. It seems likely that the Uk request an extension of time. The governor of the Bank of England, Mark Carney, said that the rebound suggested that the markets were now on a “risk-reduced” Brexit chaotic, without a transitional arrangement.
At the same time, the euro has plunged, with the EUR / USD down 0.10% to 1,1401.
The yen, usually sought by investors as a safe haven in times of economic stress or market, was slightly down against the dollar, with the SD / JPY up 0.03% to 108,68.
The dollar index, which measures the greenback’s strength against a basket of six major currencies, was down 0.04% 95,63.
The greenback remained indented after the american representative of the Trade Robert Lighthizer has seen no progress on the structural issues in the negotiations of u.s. with China last week.
Comments from senior officials of the federal Reserve have also pressured the dollar on Tuesday, suggesting that they were in no hurry to raise interest rates further in a context of slowing global growth.
Australian dollars and new zealanders are sensitive to the risk were lower, with AUD / USD down 0.18% to 0,7186 and NZD / USD down 0.45% to 0,6782.