This week, the biggest focus among the investing community was on the summit between North Korea and the United States. Donald Trump met with Kim Jong Un and his delegation in Hanoi, Vietnam where the two were expected to discuss the denuclearization of the peninsula.
After a successful first day of meetings, the two leaders failed to meet for the second day. In a statement, United States said that North Korea wanted sanctions relief without offering any concessions on nuclear weapons. North Korea blamed the US for being one-sided in the negotiations. They said that they have not received any sanctions relief despite doing the initial steps towards denuclearization. This disagreement probably takes the relations between the two countries to where they were in 2017.
The sterling was a big winner this week. This is as fears that the UK will leave the UK without a deal dissipated. In a speech to parliament, Theresa May said that she will probably seek for an extension of the Brexit day if her proposals failed to meet parliamentary approvals. In the same week, Labour party’s Jeremy Corbyn said that the party will back another referendum. While the extension promise by Theresa May was welcomed, it also risked creating more uncertainties in the country, which could limit investments.
Another major news came from Israel, where the country’s attorney general revealed that he will press charges against Benjamin Netanyahu. The charges are because of three cases that have been under investigation for more than two years. Prosecutors believe that they have a strong case against the prime minister. Other cases have been brought against his wife Sara. This comes a month before the country is expected to go have an election, in which Netanyahu is expected to win his fifth term.
Tesla was again back in the news. This week, his battle with the Securities and Exchange Commission (SEC) continued. This came after the SEC asked a judge to intervene on the Tesla’s CEO, who admitted to posting a tweet without the necessary legal approvals. It is this tweet that led to the resignation of the company’s legal counsel. In a series of tweets, Elon Musk attacked the SEC, which led to the calls of his resignation from the likes of Jim Cramer.
Investors also focused on the crude oil. On Monday, the US president sent a tweet asking OPEC to increase production with the aim of reducing the prices. This came after the price of crude oil rose sharply after OPEC’s meeting in Vienna. The cartel agreed to lower production with the aim of boosting prices. However, the prices later recovered as investors concluded that OPEC may not react to Trump’s threats.
In the United States, the political environment continued being heated after former Trump’s lawyer made public statements in front of congress. In the testimony, the lawyer, who faces years in prison accused his former boss as being a con and a racist, who has committed crimes while in office. After the statement, Democrats said that they will ramp-up their investigations on the president.
The post Weekly Review: Investors Focus on Crude Oil, Israel, and US-North Korea Talks appeared first on Forex.Info.