摘要:On Wednesday, the pound jumped above 1.3060 against the U.S. dollar after the EU Chief Brexit negotiator Barnier said a deal with the UK was within reach.
WikiFX News (22 Oct.) - On Wednesday, the pound jumped above 1.3060 against the U.S. dollar after the EU Chief Brexit negotiator Barnier said a deal with the UK was within reach. The pair is expected to gain more momentum in future trading.
Barnier said that progress needed to be made in the next few days due to time constraints, while European Commission Vice-President Sefcovic said their objective was still to reach an agreement and “deal or no deal, the Withdrawal Agreement must be respected.”
These comments of senior officials again enforce the expectation for an orderly Brexit, stimulating GBP/USD to surge from around 1.2990 to 1.3064, up more than 70 pips.
Looking ahead, GBP/USD will gain more upsides from both the significant progress in Brexit negotiations and the short-term pressure on DXY. However, another deadlock in the negotiations is still possible considering the various differences between the two sides.
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Chart: Trend of GBP/USD
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