UK: May signals greater parliamentary involvement in Brexit - BNPP
|Research Team at BNP Paribas, notes that the UK Prime Minister Theresa May has accepted that Parliament should be allowed to vote on her plan for taking Britain out of the European Union, but stated that there shouldn’t be an attempt to block Brexit or undermine the negotiating position of the government.
Key Quotes
“GBP has bounced 1.3% in response to the news during Asia hours, following the late New York afternoon slide in Cable through 1.22 and EURGBP above 0.91. Greater parliamentary involvement in the Brexit process will likely be seen as having the potential to reign in some of the governments ‘hard Brexit’ views.
We see scope for the initial bounce in GBP to extend further, given extreme short positioning and very cheap GBP valuations. Our BNP Paribas STEER™ model remains long GBPUSD and short EURGBP.”
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.