Brexit: now a fast-moving train

For the remainder of this week, the UK House of Commons Speaker John Bercow will have a harder than usual time managing, well -shouting ORDER! at lawmakers both from the opposition and the ruling party, majority of whom are intent on grilling Prime Minister Theresa May’s government over the Brexit deal she brought from Brussels.

Market sentiments are evenly divided over the many possible outcomes from the Brexit vote exactly a week later with the FTSE continuing to drop since its initially bullish gap opening Monday.

However even before a debate is to start, Labour-led MPs along with Scottish Nationalists have successfully triggered a voting process on whether to hold the government already on shaky ground in contempt of the Parliament, a process that can see some ministers suspended.

The reason: May’s government failed and have so far refused to fully disclose a comprehensive legal summary of the Brexit deal May signed with her European counterparts last month.

The paper prepared by the Attorney General Geoffrey Cox makes plain what political and economic consequences await the Kingdom, particularly on the that the thorny issue of Northern Ireland-Ireland border and customs rules regulating the future of UK-EU commerce.

At the time of writing this article, British MPs were already discussing the matter that could spell out bigger trouble for May.

Before that, the European Court of Justice released a non-binding opinion that the UK could unilaterally revoke its withdrawal from the EU. The final ruling regarding the issue is to be announced at a later date.

But top officials from both the British and European arena of politics have repeatedly ruled out any such prospects of cancelling the article 50.

Earlier the day, Bank of England Governor Mark Carney was at the receiving end of fierce criticism from a parliamentary committee for the central bank’s recent analysis of potential Brexit impact on the economy.

Carney defended the bleak scenarios his leadership wrote, labeling the accusations of creating scare to help May pass her deal as “entirely unfair.”

With all the drama unfolding at an even faster and unpredictable pace at the House floors, the Pound continues to hang in a critical balance in the international forex markets.

It is going to be a hectic seven-days till next Tuesday.


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