A number of MP’s were not impressed that they would be missing the yearly skiing trips, however some commentators pointed out that 6 weeks before the UK’s biggest decision in generations it might not be a suitable time for a holiday.

Brexit Delay looks inevitable

Brexit Delay looks inevitable

Graham Brady, whose amendment passed through the House of Commons earlier this week to allow Theresa May the chance to return to the EU to negotiate the back stop, suggested that he would be happy for a Brexit delay past March 29th, permitting there was a deal in place.

Should there be an agreement with the EU in the final days of Article 50 it would be inevitable that the deal would overrun, as we approach 50 days before the deadline. It’s a well-known fact that the EU are notorious for last minute negotiations and the UK’s Brexit deal is looking as though could get to that point.

Should this be the case, those holding onto Sterling waiting for a major movement in the next few weeks may be inclined to act sooner rather than later. If we do get within 20 days of the March 29th exit date for example and no-deal is still a real prospect, the chances are the GBP/EUR exchange rate could be back near 1.10. Yesterday Sterling rallied against the Euro mainly due to concerns regarding the Eurozone’s prosperity, as opposed to any real Brexit developments, with the rate closing the day just below 1.15.

Bank of England Decision Next Week

The Bank of England (BoE) will meet next Thursday to give their latest interest rate decision, which will be followed by a statement and questioning from BoE Governor Mark Carney. There is not expected to be any changes to the rate this close the Brexit with so much uncertainty still on the cards.

Carney is a major endorser of remaining in the European Union, and is likely to suggest that it’s the only way avoid major crashes across the UK. Furthermore, the Governor of the Central Bank is infamous for weakening Sterling, therefore if you’re waiting till next week to complete a transfer it may be worth acting before this even on Thursday, There is still so much breaking news that being in contact with your broker is the best way to make sure we can help you to maximise any transfers you have.

 

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Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.