Brexit optimism propped sterling higher for the most part of the previous week. Can the U.K. currency hold on to its gains?
The lack of any other major economic reports from the U.K. would leave market watchers very focused on Brexit updates in the days ahead, especially since the deadline to exit the EU is fast-approaching.
In the latest turn of events, Parliament dealt another setback to PM Johnson’s latest transition deal, withholding its approval vote until formal ratification legislation is passed.
Some say that this legislation could prove bullish for the pound as it could avoid a “no deal” exit by default, keeping other options like staying in the customs union or calling for a second referendum open instead.
No. 10 is being pressed to ask for an extension from EU leaders, but he has argued that “further delay will be bad for this country.” Leader of the House of Commons Jacob Rees-Mogg said that another vote on the Brexit deal could be called in today’s London session.
Missed last week’s price action? Read the GBP price recap for October 14 – 18!