The Pound wasn’t scared by the Brexit fiasco. Overview for 16.01.2019

On Wednesday, GBPUSD is trying to recover after a volatile evening earlier; market players are waiting for the new from the House of Commons.

The British Pound reached stability against the USD after a volatile evening on Tuesday. The current quote for the instrument is 1.2849. 

So, the Brexit seems to have failed, at least the scenario, which was considered the best one for the United Kingdom. During yesterday’s vote, majority of policymakers didn’t support the agreement with the European Union, 423 against 202. At the same time, the opposition tabled a motion of no confidence in Theresa May’s government and it will be considered today, on January 16th. 

It’s obviously that there is no time for additional discussions on the agreement and the Brexit may not take place on March 29th. Probably, the European Union won’t take any changes, considering how difficult it was to agree on the current draft. However, May remains optimistic (what else should she do?) and is ready to revise the most problematic articles of the agreement and contact the key disagreeing policymakers for discussions. But it does not necessarily mean that the European Union will want to read and consider the revised document. 

Well, there is a “tough” scenario left, but it won’t surely be liked by anybody: policymakers, population, and businessmen.

So far, the British Pound is trying to keep balance, but it is happening mostly due to the lack of new information right now. The volatility is ahead.