Comment from ITV's Robert Peston

Report from Peston:

As you know I take view EU won't negotiate elimination of backstop. And Brussels sources corroborate today. BUT intriguingly there are tiny hints in Whitehall that in back channels EU & some member states hint at concessions on backstop. No10 keeping this extremely tight.

This just crossed and gave the pound a tiny bit of life but it's evidence that Merkel's hint on the backstop was real.