Pound Slightly Higher on Brexit Deal; U.S. Dollar Falls
Thursday, 17 October 2019 23:32 WIB |
The U.S. dollar remained tepid on Thursday, while sterling tried to hold onto earlier gains after reports that the U.K. and European Union had reached a Brexit deal.
European Union Commission President Jean-Claude Juncker and U.K. Prime Minister Boris Johnson announced an agreement via Twitter, which was later expanded on by the EU's top negotiator Michel Barnier.
However, Northern Ireland's Democratic Unionist Party said it remains opposed to the proposed agreement, making it uncertain if the deal will be passed by the U.K. Parliament when it votes on Saturday.
The deal hinges on Northern Ireland applying a limited set of EU rules on some goods, with the U.K. only charging EU tariffs on goods passing through to EU markets. Northern Ireland will also maintain the right to vote every four years on whether the arrangements will stay.
GBP/USD gained 0.2% to 1.2856 as of 10:39 AM ET (14:39 GMT) after hitting an earlier high of 1.2935, while EUR/USD was up 0.5% to 1.1116.
Source : Investing.com