Sky News political editor, Beth Rigby, reports
Says that a Cabinet source who was very downbeat about prospects of a deal last week now reckons that "it is more likely Labour will actually do some kind of a deal", adding that the argument inside the Labour party has "shifted towards the dealers".
Now, I'd take this with a pinch of salt because this is out of character for Labour to suddenly just shift their red lines in talks but also because this is a Cabinet member source being cited; hence, the bias is definitely to make it look like Labour is the one caving in.
The only thing I can see that could force them to reconsider their position is the local election results, but then the Tories themselves also are suffering as well so it's hard to imagine that they'd be the first to blink and concede to a 'Tory Brexit'.
The pound isn't reacting much to the headlines here though. Cable still sits near flat levels at 1.3100 while EUR/GBP is similar at 0.8547 currently.
