EU Chief Negotiator Barnier "strongly opposed" to May's Chequers
|- EU Barnier comments to a German newspaper could put the Pound under strong selling pressure.
- UK PM May's also unwilling to give up on Chequers plan suggests negotiations will soon come to a stalemate, again.
The Sterling Pound could gap lower at the weekly opening after EU's Chief Negotiator, Michel Barnier, said that he is "strongly opposed" to UK PM May's proposal on future trade relation between the EU and the kingdom.
Speaking to a German newspaper, Barnier highlighted the lack of common ground between EU´s offer and the UK desire for "facilitated customs arrangements." Particularly he referred to the automaker's industry and advised EU car manufacturers to consider using fewer British-made parts.
His comments, came after UK PM May said that the government can achieve a "good deal for Britain" ruling out a second Brexit referendum. She also stated that she won't be pushed into compromises on her Chequers agreement that are not in the UK interest.
The GBP/USD pair surged last week to 1.3042, its highest since August 2, on the back of hopes the two economies may reach an agreement following encouraging comments from Barnier and UK's Raab. However, the positive sentiment faded at the end of the week, as Barnier also said that there are no plans to extend negotiations beyond October, and what is actually needed is a political decision.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.