Pound rallies on efforts to avoid no-deal
THE pound enjoyed more gains today amid relief at MPs’ efforts to prevent a no-deal Brexit.
Votes to ensure the House of Commons is sitting in October and prevent a proroguing of Parliament by likely Prime Minister Boris Johnson, helped lift sterling more than half a cent against the dollar today, reaching $1.2558 at one point. It fell below $1.24 for the first time since April 2017 this week amid alarm over the aggressive no-deal rhetoric from Johnson and his Conservative leadership rival Jeremy Hunt.
But the impasse sets up an autumn clash between the new PM and the Commons, said Berenberg economist Kallum Pickering. He said: “Probably the EU would only agree to an extension in case of serious political developments.”