GBP spikes on Irish, EU governments sounding out Johnson to avoid no-deal Brexit - Sunday Times


  • Positive signals coming from weekend Brexit press helps Sterling off to a good start.
  • GBP/USD rallied from a low of 1.2478 to a high of 1.2519. 

GBP/USD is bid in Asia following positive news with regards to the EU's intentions to thrash out a new Brexit plan that could avoid a no-deal catastrophe. The pound rallied from a low of 1.2478 to a high of 1.2519. 

Reuters has picked up on the Sunday Times newspaper, reporting ahead of Boris Johnson’s likely election next week as Britain’s prime minister, that EU countries are secretly wooing him in a bid to thrash out a new Brexit plan that would avoid a no-deal disaster:

Senior Irish politicians and diplomats have held talks with two of Johnson’s cabinet allies in recent days, it said. German and French figures as well as the Dutch and Belgian governments have also established contact with Johnson’s team and signalled an intention to do a deal, it added.

In a limited extract released on Saturday evening ahead of publication, the paper reported that Irish Foreign Minister Simon Coveney has indicated Dublin is prepared to compromise.

Johnson has pledged to take Britain out of the EU on Oct. 31 with or without a deal but Coveney said in an article for the paper that EU member Ireland wants to avoid a no-deal exit at all costs.

“If Britain decides to leave without a deal it could cause huge damage to us all,” he wrote. “A no-deal Brexit would devastate the northern Irish economy.”

Johnson is widely expected to have easily beaten his rival, Foreign Secretary Jeremy Hunt, when the result of a ballot of members of the ruling Conservative Party for their next leader to replace Theresa May is announced on Tuesday.

May resigned two months ago after failing to persuade parliament to back the exit deal she struck with the EU last November.

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD surges above 1.1100 as Trump announces steps against China

EUR/USD is trading above 1.1100, up on the day. President Trump said he orders companies to search Chinese imports for drugs. Earlier he criticized Powell's lack of action. 

EUR/USD News

GBP/USD jumps above 1.2250 on USD weakness

GBP/USD is trading close to the monthly highs above 1.2250 as the US dollar falls following Powell's hint of cutting rates and Trump's angry response. 

GBP/USD News

USD/JPY plummets to ten-day lows below 106 as Trump goes berserk on Twitter

The USD/JPY came under strong selling pressure in the last hour and erased nearly 100 pips as US President Donald Trump's latest rant on Twitter forced investors to seek refuge and ramped up the demand for safe-haven JPY. 

USD/JPY News

Gold gains more than $30, eyes 2019 highs on Trump’s tweet

Gold continues to rise sharply amid concerns about the impact of the escalation in the US-China trade war. The demand for safe-haven assets emerged over the last hours, leading to a rally in the yellow metal. 

Gold News

Powell powerless against Trump's trade wars – US braces for recession, USD set to move

"The most powerful central banker in the world" – is how we and others characterize Fed Chair Jerome Powell. While that may be true – monetary policy is reaching its limits – especially in the face of a trade war.

Read more

MAJORS

Cryptocurrencies

Signatures


  •  
  •  
  •  
  •  
  •