Tax Plan Approval Boosted Greenback
The Senate has approved the tax bill and thus the greenback significantly reinforced. The corporate tax will be cut to 20% and it will come into life in 2019. Economists say, the plan won’t provide much improvement to the economy. Any news about investigation of Trump’s ties with Russia will burden the dollar. The Sterling is sustained as well. Franc and Yen are the softest so far.
Theresa May is preparing to meet Jean-Claude Juncker (European Commission President). Today is a deadline for May to reassess her offer on divorce. Still, British government considers the December’s summit to be the final date. Theresa May is expected to offer some 40 billion or 50 billion Pounds for Brexit. The case of Irish border will also be discussed.
Tomorrow, Reserve Bank of Australia will announce its rate. It’s once again projected to remain at 1.50%. Annual price growth is holding at 5.2%, comparing to 10.4% back in May. The six month price growth is sticking at 0.7%. Australia will also publish retail sales, Gross Domestic Product and trade balance. Bank of Canada will also deliver its rate decision. No rate lift is expected. The US will release ISM services and non-farm payroll. Britain will announce PMI.