Brexit's back: double-whammy for sterling after virus shock [Reuters]
SOCIETE GENL FRNCE S/ADR (SCGLY)
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Source: Reuters
Brexit's back: double-whammy for sterling after virus shock LONDON (Reuters) - Shoved aside by the coronavirus pandemic, Brexit is set to work its way into the headlines again as a June deadline for extending Britain’s 11-month transition period turns currency traders’ focus - and selling pressure - back to the pound. Last week, at talks to negotiate a post-Brexit trade agreement, Britain’s government reiterated its pledge to walk away from European Union without a deal if one cannot be reached by the end of the year. And unlike in 2019 when lawmakers were able to block a no-deal Brexit, Prime Minister Boris Johnson’s large parliamentary majority makes this a real possibility. Yet, with focus squarely on COVID-19, the pound barely batted an eyelid. Britain being cast adrift from its biggest trade partner is widely expected to inflict huge damage on an economy already predicted by the UK budget watchdog to post its worst recession in 300 years. That means sterling may be about to take
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