The Pound Sterling is holding off the recently struck peaks against both the US Dollar and the Euro as traders await today's crucial Brexit vote in Parliament. The issue is whether enough of the Parliamentarians will agree to the amendment which would remove the possibility of a no-deal Brexit. Most of the day is scheduled for debate on the issue, which analysts say is likely to get contentious, with a vote beginning at 7:00 pm (GMT). There are other amendments on the table, as well, including one that would postpone Britain's departure from the EU, scheduled for March 29th, if an agreement on the breakup is not reached by the end of February.
As reported at 11:08 am (GMT) in London, the GBP/USD was trading higher at $1.3157, up 0.578%; the pair has ranged from a trough of $1.3130 to a high of $1.3177. The EUR/GBP is trading higher at 0.8696 Pence, a gain of 0.05%, and off the session peak of 0.87110 Pence while the low for the trading day is recorded at 0.86814 Pence.
Some Amendments May Get a Pass
Analysts say that if the various amendments pass today, FX traders could see an improvement in the GBP/USD pair toward $1.3300, while a no-go on the amendments could mean the pair loses ground back toward the $1.3050 level. A commitment from the Labour Party is what is needed to push through the most crucial amendment proposals, and they have cited support for the amendment which would postpone the Brexit and prevent a no-deal departure.