GBP EUR Steady as Markets Await German Data

GBP EUR Lower After Retail Sales Disappoint

The GBP EUR exchange rate was 0.10% higher on Wednesday as markets wait for German consumer confidence data. The police are launching their own inquiry into Boris Johnson’s birthday party, while the Sue Gray report awaits. Meanwhile, an ex-DUP leader was trying to shift the Northern Ireland protocol story. The more important economic data for the pair is Friday’s GDP numbers.

The GBP to EUR is trading at 1.1958 but it may be too soon for another test of 1.2000.

Sue Gray awaits as police launch Boris Johnson probe

The saga of the lockdown party probe in the UK took another turn as the civil servant delayed her findings on the news that the police would be investigating the Boris Johnson birthday party. There was also a tit-for-tat move to investigate a ‘lockdown beer’ enjoyed by opposition leader Keir Starmer.

The Labour leader was pictured drinking indoors with colleagues ahead of last year’s local elections, while Covid restrictions were in place.

David Morris, Tory MP for Morecambe and Lunesdale, said there was ‘no difference’ between what Boris Johnson and Sir Keir had been accused of.

And Alexander Stafford, Tory MP for Rother Valley, said there should be no ‘hypocrisy’ and that ‘all sides need to be investigated’.

The comments came as the Prime Minister became part of a police probe for only the second time in a century. The Sue Gray report was rumoured to be released as soon as Wednesday but there were twists and turns over whether it would be released.

In short, the drama and saga of the British government is not over and the pound sterling may suffer the consequences.

The day ahead will see economic data in the form of German consumer confidence, although that will not provide any spark for the economy. The country saw widescale protests at the weekend, which were said to be close to 1,000 separate gatherings as citizens revolt against the latest restrictions and mandates.

Ex-DUP leader loses patience with Brexit haggling

A former leader has taken the first step towards stopping the Northern Ireland Protocol border checks between Ulster and Great Britain.

Stormont’s Agriculture Minister Edwin Poots has delivered a paper asking for executive approval for Irish Sea border checks to continue. That could see the DUP MLA for Lagan Valley attempting to halt the continuation of post-Brexit port checks.

However, nationalists in Sinn Fein have vowed to block any attempt to put the matter on the executive’s agenda. Sinn Fein, who are currently polled to emerge as Ulster’s largest party for the first time ever this year, insist the devolved Government have the authority to enforce checks on goods travelling from Great Britain to Northern Ireland.

The Northern Ireland Protocol, which was agreed between Great Britain and EU as a part of Boris Johnson’s Brexit deal, has been a contentious talking point recently with the threat of triggering Article 16 and potential retaliation by the EU.

Yesterday, Sir Jeffrey Donaldson, the current DUP leader, warned the UK Government he is not prepared to be “strung out for weeks” waiting for action over the Protocol.

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