China slows. Pound gains as Parliament prepares to vote on Johnson deal

The Chinese GDP growth fell to 6% in the third quarter of 2019, although the industrial production jumped to 5.8% y-o-y in September and the retail sales advanced 7.8% as expected, versus 7.5% printed a month earlier. Fixed assets excluding the rural area expanded 5.4% y-t-d in September, a touch slower than 5.5% expected by analysts and announced a month earlier.

Weak growth data confirmed that the trade disruptions with the US have continued taking a toll on Chinas economy during the third quarter and a trade truce is the only way to put the EM giant back on its feet.


In Europe,Boris Johnson returns to London with a deal in hand. He is halfway through his do or die endeavour. Now, he must convince Parliament to ink a divorce deal by the end of this month. If pound traders remain hopeful, it is because it is not impossible for Johnson to obtain a parliamentary victory over his deal, but it will be tight.

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