GBO in focus
Quick cheat sheet from last week giving the big picture :
- No confidence vote - Initially will find GBP buyers, but sellers will enter when the subsequent election is seen as the outcome
- Deal with the EU - Immediate and prolonged GBP buying
- No deal outcome - Immediate GBP sellers , but then buyers might step in on a sell the rumour buy the fact trade
The micro focus at the moment however, is how on earth Johnson will circumvent the so called ' Surrender Act' which means Johnson has to ask the EU fro an extension if there isn't a deal secured by the EU summit on October 17/18.
PM Johnson is insistent that the UK will leave the EU on October 31, which is indicating he has a way round the requirement that he needs to ask for an extensions.
So, if Boris Johnson announces a way around the Benn Act ('surrender' Act) expect GBP selling. . See here for the FT's take on some of the options potentially open to Johnson.
