EU is pessimistic that a Brexit breakthrough is in reach - Bloomberg

Omkar Godbole FXStreet Contributor

European officials are pessimistic about the probability of a breakthrough in Brexit talks this week, as negotiators believe that whatever they offer won't be enough to get parliament to back Prime Minister May's deal.

Key points (Source: Bloomberg)

The EU believes unrealistic expectations have built up in London. As a result, any concessions the EU would be prepared to give wouldn’t be sufficient to win a majority in the House of Commons.

EU negotiators are also riled by having to do business with a new interlocutor, the people familiar with the matter said.

If May’s deal is rejected on Tuesday, Parliament will instead most likely vote to extend the exit day deadline and pro-EU lawmakers will try to force the government to soften, or even reverse the divorce.

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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