EU warns no-deal Brexit likely; GBP/USD trades below 1.32

EU warns no-deal Brexit likely; GBP/USD trades below 1.32

With a December 31 deadline quickly approaching, the EU warns that the most likely outcome has become a no-deal Brexit. Efforts continue in Brussels to try to finalize a deal by Sunday. Investors are moving towards risk-off assets as developments for the coronavirus and uncertainty around a US pandemic relief package weigh on sentiment.

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  • FX Rates
    December 11, 2020

    Rates are not real time. Rates are today's indicative mid-market rates as of time of publishing, which may vary. Please contact SVB for a current quote.

  • USD
    The US dollar strengthened the most in a month. Traders moved within a slight risk-off sentiment amid stalled US stimulus talks. A spending bill is needed to keep the Fed government running past tonight, when current funding runs out.

    Sterling is on track for its worst week since September. GBP/USD fell as much as 0.9% overnight, hitting a low of $1.3135. The EU warned that the most likely outcome for Brexit would be a no-deal. Last ditch efforts to establish a deal before Sunday are continuing in Brussels.


    EUR is lower on the day, down about 0.2%. Despite the decline, the currency pair is heading for its best year since 2017.


    USD/CAD hit a low of 1.2707 Thursday amidst surging commodity prices. The currency pair is trading 0.3% higher today following comments from Bank of Canada Deputy Governor Beaudry that the USD/CAD exchange rate is very important to the BoC’s outlook for the economy.


    USD/JPY fell as much as 0.3%, the first move lower in four days. AUD/USD gained earlier in the trading session on commodity strength, the currency pair has held on to those gains hovering around the $0.7540 level.

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Cate Camerota
Cate Camerota

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