The news sent the pound lower from 1.2960 to 1.2920
Bloomberg is reporting that the EU has no plans to offer concessions to Boris Johnson before next week's Brexit deadline on 15 October (this is the UK's deadline FWIW), betting that he won't make good on the threat to walk out without a deal.
The bloc is reportedly ready to let talks drag into November or December and take a chance on Johnson even pulling the plug rather than compromise its red lines.
That doesn't set a good tone for what is going to come out of talks this week but the EU has been hinting since last week that they are willing to let talks run into next month.
That would put the ball back into Johnson's court to see if he is going to follow through on walking away without an agreement next week.
The pound got knocked lower from 1.2960 to a low of 1.2917, meeting support from its 100-hour moving average @ 1.2923 before sticking around 1.2940 levels currently.
