GBP up on Johnson Triple Blow, eroding USD

Although the sale has expanded and the US has deepened alongside Europe, it is Boris Johnson's Triple Defeat in Parliament that dominates the foreign exchange market, with a 300 pips increase over Tuesday's trough. British Prime Minister Johnson was rejected by two votes that blocked a Brexit without agreement and early elections. The United States and are expected Thursday.

(1) Boris Johnson was damaged Tuesday as the Conservatives officially lost the ruling majority following the defection of a Conservative MP against LibDems. Yesterday: (2) Johnson was denied by a motion blocking a non-agreement passed by the MPS rebels, followed by (3) his call for an election next month was rejected by the deputies.

Over the past two days, Cable has climbed to 1.2255 after the lowest on Tuesday at 1.1958. The combination of the chance of a non-Brexit deal and the widening of the USD weakness is amplified to power the cables. An election is inevitable, a censorship on Boris Johnson is not to be ruled out and the risk of double meaning is very present.

The US ISM index of manufacturing industry on Tuesday pointed out that the global manufacturing industry had gone from a slowdown to a recession. The US index fell to 49.1 compared with the estimate of 51.2. This was a tumble from a record 61 in August last year and coincides with a decline in almost all developed countries. The index is facing more difficulties with the measure of falling to the lowest since 2012.

The ECB continues to simmer in the background and Villeroy adds to the growing list of votes against more QE. One report suggested that the ECB is preparing a package of rate cuts, longer guidelines and prioritization. The central bank is now in its calm period.

The Bank of Canada at 1.75%, but the statement was not as accommodating as expected and jumped. The main indications of the statement continue to indicate that the current level of adaptation measures is appropriate, while cautioning against "global developments" that weigh on the national economy. Schembri will bring more clarity in the day ahead, but the comment suggests that the BOC is less likely to reduce in October than the 62% offered in the market.

On Thursday, the focus is on US data with ADP, factory orders and ISM services.