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Pound LIVE: GBP Sterling static against euro and US dollar as May to STEP UP Brexit fight


Sterling plunged around 2 percent in value against the euro and US dollar last Thursday after a series of shock resignations from furious ministers who refused to back Theresa May and her vision for Brexit.

The Prime Minister faced one of the toughest days of her career after infighting erupted as ministers turned away from her draft EU divorce proposal.

Dominic Raab sent shockwaves through the pound as he resigned as Brexit Secretary, while Esther McVey stood down as Work and Pensions Secretary.

Other minsters to resign throughout the day included Suella Braverman and Shailesh Vara, while Anne-Marie Trevelyan, Ranil Jayawardena and Rehman Chishti left their posts as key figures in Government.

The pound is currently trading at €1.125 as of 09:00 GMT, similar to levels seen on Friday, according to data from Bloomberg.

Against the US dollar, the pound is currently at $1.128, holding ground from levels recorded at the end of last week.

The currency is expected to remain under pressure until the market gets more clarity on the progress of the Brexit deal, according to Michael McCarthy, chief markets strategist at CMC Markets.

Meanwhile, the Prime Minister will today launch a Brexit offensive as she seeks to gain support from business leaders for her draft withdrawal agreement.

Mrs May will use a speech today to say that the withdrawal agreement has been “agreed in full” less than a week before a European Council summit are due to rubber stamp the deal.

The Prime Minister is due to join Labour leader Jeremy Corbyn in addressing the CBI annual conference in London on Monday.

Her speech will address those – thought to include up to five serving ministers – who think changes can be made to her deal before the November 25 summit.

She is expected to say that there is “an intense week of negotiations ahead of us”.

Mrs May will say: “During that time I expect us to hammer out the full and final details of the framework that will underpin our future relationship and I am confident that we can strike a deal at the council that I can take back to the House of Commons.

“The core elements of that deal are already in place. The Withdrawal Agreement has been agreed in full, subject of course to final agreement being reached on the future framework.”

The Prime Minister’s speech will also seek to set out the positives of her Brexit plan on immigration, creating a meritocratic, egalitarian system that would help Britons get good jobs and training.

She is due to say: “It will no longer be the case that EU nationals, regardless of the skills or experience they have to offer, can jump the queue ahead of engineers from Sydney or software developers from Delhi.

“Instead of a system based on where a person is from, we will have one that is built around the talents and skills a person has to offer.

“Not only will this deliver on the verdict of the referendum, it should lead to greater opportunity for young people in this country to access training and skilled employment.”

Her speech comes as speculation countinues to mount over whether 48 letters of no confidence required to challenge Mrs May’s leadership of the Conservative Party has been recieved by the 1922 Committee.

Ian Strafford-Taylor, CEO of FairFX, said the pound could be set to fluctuate further as Brexit continues to develop.

He said: “Brexit is an unprecedented movement in the UK’s history so naturally the pound has fluctuated as negotiations have progressed over the last two years.

“However, the developments this week – including the cabinet-backed draft Brexit agreement, resignations and letters of no confidence – have sparked intense turbulence for the pound.

“If there is a vote of no confidence and Theresa May is forced to step down the UK will face even more uncertainty, and uncertainty is one of the biggest causes of volatility for currency.”



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