Morning Update – 03/11/2016 – by Arjun Lakhanpal

Morning all.. another weak session on Wall St which closed down 0.65% as fears over Clinton’s lead continue and more issues overnight took Asian stocks lower too. Nikkei closed down 1.76% as articles in US press suggest Clinton could be indicted. An investigation into the Clinton foundation looks likely now cites Fox News sources report: Clinton Foundation investigation is far more expansive than anybody has reported & pay-for-play case moving towards “likely an indictment” barring obstruction from DoJ; emails found on Anthony Weiner laptop that are believed to have come from Clinton’s secret server, are not duplicates & could be classified.. FOMC: left rates rates unchanged, as expected; vote 8-2 (vs 7-3 in Sept); George & Mester dissented; case for a hike continues to strengthen; waiting for more evidence of progress towards objectives before hiking; statement dropped the reference to inflation to staying low in the near term; repeats inflation will rise to 2% in medium term; conditions will evolve where gradual rate increases are warranted; inflation has increased somewhat since earlier this year, remains below objective; near term economic risks appear roughly balanced. On the back of the Clinton story we have seen USDMXN race higher again and the risk off tone hit USDJPY hard as well; trading down to a low of 102.55. The dollar generally lower and this has seen oil move slightly higher. US 10-yr yields are weaker trading at 1.785%.. Focus now on the UK with a decision on A50 due this morning.. We also have the BoE meeting..UK Services PMI also on the card along with Swedish Industrial production this morning.. Good luck..