According to The Sun's political editor, Tom Newton Dunn
- Cabinet will not be asked tomorrow to decide on any fresh offer to the EU
- A mechanism to end the backstop is still the big block
- There are no solutions on the table yet
- Prospective dates for an emergency EU summit pushed back to 27/28 November
The headlines continue to be less and less encouraging for the pound. GBP/USD now moving down to 1.2984 while EUR/GBP has inched a little higher to 0.8755. As mentioned earlier, it's all about the backstop and unless concessions are made, there doesn't seem like there is any workaround for it.
If tomorrow's Cabinet meeting is indeed just more hot air being blown, expect the pound to give back all of its early Asian morning gains as Brexit optimism begins to get flushed away.
