GBP gains after possibility of No-deal Brexit declines
After the Boris Johnson government faced multiple defeats in the Parliament, the possibility of no-deal Brexit has declined. This led to rise in the valuation of British Pound to the highest level seen since July this year. Compared to USD, GBP was trading at 1.235. During the week, the pound touched its three year low against USD at 1.20.
Boris Johnson faced another embarrassment after his brother Jo Johnson, announced he was quitting the cabinet. Johnson has been trying hard to go ahead with no-deal Brexit but he has failed multiple times due to lack of support. Additionally, the idea of holding snap elections has been rejected by many leaders within his party.
European Union leaders have kept a strong stance against United Kingdom. European leaders are closely watching the situation but they aren’t ready to accept demands of Johnson.
Jeremy Corbyn, the Labour leader, has said he will only whip in favour of an election after legislation preventing a no-deal Brexit becomes law.
Johnson faces tough times but he is planning to hold another vote on Monday.