Cable traders are suffering through a news overload this morning, with the optimism and euphoria which sent the pound to two month highs as recently as 2 days ago fading fast on speculation whether UK PM Theresa May will be able to engineer a Brexit breakthrough in time. And following overnight speculation that her cabinet may revolt, and what one desk dubbed “headline havoc” this morning in which DUP sources saying that there will be no deal this week, it’s looking increasingly in jeopardy.
Overnight the Telegraph and Bloomberg reported that Theresa May is facing a revolt from inside her Cabinet over her plan to keep U. K. regulations aligned with the European Union after Brexit, “a split that threatens to undermine her chances of breaking the deadlock in negotiations.” Foreign Secretary Boris Johnson and Environment Secretary Michael Gove “will lead a Cabinet revolt against Theresa May over fears she is forcing a soft Brexit” the Telegraph reported. While this is hardly the first time we’ve heard this sort of speculation, considering the closeness to the EU Council Summit next Thursday/Friday, the clock is ticking for May to come up with a solution.
This post was published at Zero Hedge on Dec 6, 2017.