Aila Mihr, Senior Analyst at Danske Bank remains skeptical over the UK PM May’s Brexit deal getting passed in the parliament later this week.
“Politics continues to dominate the news flow. After cross-party talks with Labour collapsed last week, the GBP hit its weakest level since February. Over the weekend, embattled PM Theresa May promised to make a "bold offer" and set out a "new and improved" Brexit deal as she tries to pass her EU withdrawal treaty at the fourth attempt in early June.
Although the new offer is said to include improvements on workers' rights, Labour leader Jeremy Corbyn is widely quoted as being skeptical of any deal passing and hence a June agreement is already facing headwinds. On previous occasions, the GBP would rally mildly on the news of a change in the impasse and this could very well happen again in the coming week.
However, overall, we remain skeptical, as we see only a slim likelihood of the bill passing, after pressure on politicians to find a way forward has eased following the Brexit deadline extension.”
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.