China and America Struggled To Halt Trade War
US equity futures fell as China and America struggled to schedule a planned meeting this month to continue trade war talks. The pound slumped with the U.K. facing a showdown in Parliament over delaying Brexit again.
Treasury 10-year futures erased a decline while a gauge of the dollar increased for the sixth consecutive day. In the U.K., the pound headed for its biggest one-day drop in three weeks and gilts rose as Parliament looked set to seek a vote that would delay Brexit by three months unless there’s a new accord with the European Union by mid-October. Prime Minister Boris Johnson today responded that he would not delay under any circumstances.
“The risks of an early election and the increasing political uncertainty, I think, is really weighing on investors minds” in the U.K., Jeremy Stretch, Canadian Imperial Bank of Commerce head of G-10 FX Strategy, said on Bloomberg TV.
Argentina’s government is imposing currency controls to halt the flight of dollars out of the country as it teeters on the brink of default. Turkey’s lira jumped after data showed the economy shrank less than expected in the second quarter.
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