Pound Pushes Higher on Hopes ‘No-Deal’ Brexit Will Be Ruled Out By Investing.com

Forex News


Investing.com — The British pound is higher against the dollar and euro in early trading in Europe Wednesday, as the market leans on balance towards believing that Brexit will be softened, delayed or even cancelled.

The U.K. parliament rejected the government’s deal on leaving the European Union for a second time on Tuesday, effectively killing it as the EU has said it isn’t prepared to negotiate any more on the terms of leaving.

At 03:00 AM ET (0800 GMT), the pound was at $1.3142, up from around $1.3060 immediately after the vote, while was lower at 0.8584.

The , which measures the value of the greenback against a basket of six major currencies, was at 96.94, practically unchanged.

The House of Commons is due to vote later Wednesday on whether to leave the EU without a deal on March 29, an option that has never commanded a majority and is highly unlikely to do so now.

Assuming that the motion on leaving without a deal is also defeated, the House will vote Thursday on asking the EU for a delay to the March 29 deadline. However, that’s not something the EU wants to do unless it can see a clear reason for doing so. What is not – at least yet – on parliament’s timetable – is a motion calling for either a general election or a second referendum that could overturn the result of the first one.

As such, the risk of an accidental “no-deal Brexit” still alive, as EU negotiator Michel Barnier pointed out via

“The EU has done everything it can to help get the Withdrawal Agreement over the line. The impasse can only be solved in the #UK,” Barnier said. “Our “no-deal” preparations are now more important than ever before.”

Overnight, the dollar had wobbled after reports citing U.S. Trade Representative Robert Lighthizer as saying that raising tariffs on Chinese imports is still an option, given the lack of decisive progress in trade talks between the two countries. The remarks hit both the trade-sensitive and .

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Articles You May Like

This Ukrainian Family Loves Experiencing New Cultures
Kee’s World – March 21, 2019
This Might Be the Dollar Disaster Bears Have Waited For By Bloomberg
Elmina Valley Five Set to launch – Nation
Dollar licks wounds after soft data fans bets on dovish Fed By Reuters

Leave a Reply

Your email address will not be published. Required fields are marked *