Pound Stagnates
- Posted by currencies in Bank of England, Brexit, Currency, Dollar, Economy, EUR, GBP, Inflation, Prime Minister, Sterling, UK, Uncategorised
- March 6, 2019
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The pound remained stuck near a one-week low this morning with a lack of progress in Brexit talks prompting concern that a vote on Prime Minister Theresa May’s deal could be delayed.
Talks between May’s top government lawyer and European Union negotiators to win concessions from the bloc on Brexit ended on Tuesday without agreement and no breakthrough is expected before the weekend.
EU have said that talks did not go well.
Britain is due to leave the EU in 23 days and sterling investors are on edge. The pound has dropped this week as doubts mount over how, or possibly even if, Britain’s exit will take place.
A poll found that most economists thought Brexit would be delayed by a few months and the two sides will eventually agree a free-trade deal.
May has offered lawmakers the chance to seek to prevent a no-deal departure and to delay Brexit if parliament rejects the deal in a vote she has promised to hold by March 12.
Even if a no-deal Brexit is taken off the agenda next week, the uncertainty of what would happen in case of a postponement remains. Pound traders cannot ignore this fact … things remain tense for sterling.
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