The US dollar, however, is once again being weakened by the mounting tensions between the White House and Congress, and with President Donald Trump threatening to use the first veto of his presidency – if politicians reject his proposal for the border wall – is leaving many “greenback” investors feeling jittery.
In a joint statement, the House Speaker Nancy Pelosi and Democratic minority leader Charles Schumer said: “The Congress will defend our constitutional authorities in the Congress, in the courts, and in the public, using every remedy available.”
US banks, however, will be closed today for the Federal holiday, President’s Day, and with no notable economic data releases most US traders will instead focus on geopolitical developments.
The pound managed to gain on the US dollar today following the publication of the Rightmove house price index figures for February, which increased to 0.7 percent and provided some uplift for Sterling.
Miles Shipside, an analyst at Rightmove, commented: “Sellers’ subdued pricing is now being outstripped by higher average wage growth, meaning that buyer affordability is on the rise at the fastest rate in nearly eight years… In theory, the scene would be set for an active spring if it were not for the uncertain political backdrop.”
In Brexit news, Prime Minister Theresa May has written to all Tory MPs calling for support for her withdrawal agreement, saying that “history will judge us all,” ahead of her meeting with the President of the European Commission, Jean-Claude Juncker, later this week.
The political deadlock continues within Parliament and between the UK and the EU, however, and fears of a no-deal Brexit is clipping some of the pound’s gains against the US dollar today.