Brexit saga continues

Han de Jong, chief economist at ABN AMRO, notes that British PM Boris Johnson has so far failed to produce Brexit proposals to the rest of the EU that are acceptable in the eyes of the European parliament.

Key Quotes

“I wonder if he intends to produce proposals that the EU can agree with and I also wonder if the European parliament will agree anything the UK government comes up with. And even if Johnson’s intentions are positive and constructive and the EU is equally constructive, how likely is it that a deal will be greeted positively by the UK parliament? Not very, I would think.”

“We continue to think that elections are highly likely, but that the outcome is hugely difficult to predict. According to opinion polls, support for the Conservatives is edging higher and they have a 12 point lead over Labour. What is interesting is that support for the Lib Dems is rising.”

“As the election may effectively become another Brexit referendum, it is not impossible that the Lib Dems will continue to rise as they have a very clear position on the issue: they are against Brexit. That can’t be said about Labour. Therefore, Labour voters for whom trying to prevent (a hard) Brexit is important may flock towards the Lib Dems. This also creates a new perspective for Tory voters who do not like the idea of (a hard) Brexit.”

“What is very unfortunate, it seems to me, is that the Lib Dem’s new leader, Jo Swinson, is relatively unknown. According to http://www.yougov.co.uk 10% of surveyed people approve of her, whereas 33% approve of Boris Johnson. The difference is explained by a large number of people not knowing Swinson: only 37% of surveyed people say they know her, against 98% in the case of the prime minister. The positive of that is that relatively few people say they disapprove of Swinson: 10% against 48% in Johnson’s case.”

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.