Europe leads announcements as Theresa May calls snap election
Big day for markets today, with a few pieces of data set for release, while focus has suddenly shifted to the UK where an election has been called.
The majority of announcements come from Europe, where a few pieces of data are expected later tonight. This data includes: European & Italian Trade Balance, European Final CPI and European Final Core CPI.
Elsewhere around the world, the US is publishing Crude Oil Inventories data as well as releasing its Beige Book. Japan will also be reporting Trade Balance figures early tomorrow morning.
The shock news came out of the UK last night as the PM, Theresa May, called for a snap general election. As the proposal falls outside the normal electoral cycle, the proposal needs the approval of two thirds of the Parliament. The main opposition party has hinted that they will support the proposal. The election is slated to be held on June 8.
It is seen as a smart move by the PM as it gives her the opportunity to expand the number of seats that her party holds in parliament, as she is quite popular at the moment. If her party makes significant gains from the election, it will make it easier for her during Brexit negotiations, as she will have more support from the government to push through her Brexit agenda. It will also give her enough time to complete the 2-year Brexit negotiations and still have enough time to recover from any unpopular Brexit outcomes before the next general election.
The lead up to the election will likely cause some volatility as the opposition parties try to derail the government, while others will be using campaign time to voice their desire for independence referendums (ie Scottish independence from the UK).