Reuters with the headline
The official adds that talks are still uncertain and it can still go both ways. Either way, all this kind of tough talk isn't going to soothe sentiment in the pound - for now at least.
Cable now down to 1.3266 as support around 1.3290-00 gives way. Watch out for 1.3200 next. Meanwhile, EUR/GBP is also at a seven-week high above 0.9100.
