With the Tory Party Conference having now finished, it appears as though it's gone well with the party demonstrating a real togetherness after some instability a few weeks ago. Theresa May insisted that the party offer a united front, and to not offer other options for Brexit as this will delay the progress and possibly harm what has already been organised.

Currency Pair% Change in 1 monthDifference on £200,000
GBPAUD3.1%AUD $10,140

Clearly the political uncertainty has weighed heavily on the Pound in recent weeks, so for the first time in a while the sentiment appears to have improved, at least for the short term.

This has helped the pound to hit its highest level against a number of different currencies during the last few weeks but the question is how long will this positive movement last?

What can we expect today for the pound and the currency markets? 

Ireland helps the pound 

With the EU summit just two weeks away one of the current sticking points with Brexit is the Irish border issue. Yesterday it appeared as though Ireland has suggested that it would back PM May's plans for an all-UK customs union with the European Union.

The Irish border issue has been a sticking point for quite some time and if this can get resolved it could be the boost the pound has been waiting for. One proposal that Theresa May has been trying to work on is that the entire UK will come together as a customs union with the EU. The idea has so far been rejected by the EU Chief negotiator Michel Barnier but behind the scenes some officials in Ireland think this may progress the talks, which is why we have seen the pound make a comeback in the last couple of days.

Car Sales a big worry for the UK 

A report published yesterday showed that new car sales fell last month, with Nissan warning the markets of the problems a no-deal Brexit could cause. Compared to twelve months ago the number of vehicles registered was down by over 20% which as far as I’m concerned is a rather alarming statistic.

Nissan has urged the UK and the European Union to ‘work towards a balanced Brexit’ and if we do move towards a no-deal Brexit this could be catastrophic for the car industry as the next new number plate to come in the UK will be next March.

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