US Tax Reforms Passed, Catalan Elections and BoE olive branch to European Banks

Matt Brown Finance Editor at Core Finance joins Nick Batsford to discuss the major events of the day.

Market Mover

US Tax reforms. With the bill finally passing it’s way through the Senate, the markets have remained steady without any overall euphoria. If anything an element of relief as traders and investors now digest what they actually mean for markets.  Not only this but the overall US and potentially global economy as a whole.

Catalan elections. With polls showing separatists and unionists level at this stage, without any over majority winner, the independence of Catalonia debate will continue. This having a potential impact on Spain and Europe.

Bank of England to allow European banks to continue to passport into the UK. Will this force Michael Barnier to backtrack on his stance for UK Banks to not be able to passport into Europe? Brown comments on how the Bank of England have stood above political infighting to offer a progressive solution to a post Brexit financial scenario.

FTSE one to watch

Intercontinental Hotels Group (IHG), with a statement today saying that US tax reforms will reduce the companies tax bill. Brown comments on how the tax benefits may not actually filter down to the overall economy.

AIM one to watch

Styles & Wood. AIM listed stock recommends a cash offer. Will further consolidation be needed in the support services sector in 2018?

Also Discussed:

With the pound flat and many other FX markets displaying little volatility, volumes and moves are expected to be slight.

ASOS – broker upgrade from RBC, how will the stock perform in 2018 with threats to competition?

Core Number: £1.4 billion expected to be spent in UK high streets over the coming weekend as shoppers who have stayed away in December push spending up in a last minute dash.

With US GDP the only major data release today, traders will be looking to square off books ahead of the Christmas break.

Further Information

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