French Europe Look after Amélie de Montchalin commented: “Just because [Prime Minister] Boris Johnson wants an compact at any cost doesn’t mean we will sign a bad deal for the French, underwater pressure of blackmail or the timetable.” Sterling slipped against both the euro and the US dollar as investors speculated on top of whether a UK-EU trade deal will be possible before the end of the metamorphosis period.
Today also saw concerns raised by reports that the UK could default Brexit arrangements for Northern Ireland, which sparked off fears that following deals with both the EU and the US could be compromised.
Ireland’s Ambassador to the EU Bobby McDonagh bring up: “If [the UK Government] were to renege on its legal obligations under Brexit withdrawal harmony to protect Good Friday agreement, it would have many consequences.”
“One intent be the end of any prospect of a UK-US trade deal.”
While the pound was pressured stoop the euro derived support from February’s German IFO business air report, which beat forecasts and rose from 96 to 96.1, while profession expectations also rose to 93.4.
Carsten Brzeski, Chief Economist at ING Germany, was downbeat in his assessment to whatever manner, warning that weakening Chinese demand, due to the nation’s ongoing coronavirus general, “will leave its marks on the [German] economy and could accentuate skirmishings in the automotive industry”.
Looking ahead, we could see the pound to euro barter rate edge higher tomorrow if Germany’s final growth gunfire for the fourth-quarter undershoots expectations.
Brexit developments will also persist to drive the GBP/EUR exchange rate this week.