EUR 8.70 For Business Accounts Only

The Morning Track waiting-3

- The Morning Track - Waiting by Bob Savage
http://trackresearch.com/articles/the-morning-track-waiting-3/

The overnight price action was dominated by political news starting with Republican Senate candidate Moore lost to Jones in Alabama. Perhaps the result was expected by the pollsters, the 1.5% margin is razor thin like the Republican’s Senate control now of 51-49. JPY gained immediately on the headlines as the risk rises that tax reform reconciliation has less time and less room for passage. The German political situation was also under scrutiny today as the coalition talks with Merkel start today with talk of an optional deal – keeping the sustainability of the government in question and the process to a deal drawn out with some expecting it won’t follow until March. In Italy, newspaper Il Messaggero claimed that Italian election date has been set for March 4th, 2018. The newspaper expects the Chamber of Deputies and
Senate to be dissolved around Dec 28/29th. All of this puts politics back into the lexicon of driving markets at least until the FOMC today and ECB tomorrow. Markets are waiting and the moods for buying more are razor thin.