With no data releases from the UK yesterday, focus was once again on Brexit. The EU has dismissed Theresa May’s Brexit speech as being more about Conservative party management than putting forward sensible solutions on trade, according to an internal document leaked to the Guardian. The Brussels analysis of the prime minister’s address, issued to representatives of all 27 member states, described her intervention as “a change in tone, but not in substance”, warning that all the UK’s red lines remained. And while it said the prime minister had promised clarity on Britain’s hopes for a future trading relationship, it described the model she proposed as unworkable and “double cherry-picking”. It also claimed there had been “zero progress” when it came to ideas for customs cooperation.
In the US session Factory Orders figures were published. New orders for U.S.-made goods recorded their biggest decline in six months in January and business spending on equipment appeared to be slowing after strong growth in 2017. Factory goods orders fell 1.4 percent amid a broad decrease in demand, the Commerce Department said on Tuesday. That was the largest drop since July 2017 and followed five straight monthly increases. Factory orders rose 1.8 percent in December.
There will be no major data releases from the UK tomorrow. In the US session ADP job figures will be published. Incline by 194,000 is anticipated.
Figures to watch:
ADP Non-Farm Employment Change (Wednesday 14:15)