Irish backstop should come to an end in Dec 2021
- UK to apply the same rules as EU during implementation period
- Backstop would apply to customs arrangements between UK, EU
- There is a range of options for how limit could be doen
- UK says backstop will need to address regulatory standings.
The key word in the headlines is the backstop arrangement "should" end by Dec 2021. At that time a new customs and trading mechanism will be in place. Is it binding? The ambiguity may appease the EU which does not want a hard backstop.
Meanwhile Irish PM Varadkar that the backstop "is not something that can be time limited by a date"
GBPUSD has reversed some of the declines seen earlier. It did fall tot he 100 hour MA and found support against that level.