Sterling reached €1.125 earlier today, up from the open of €1.124 but down slightly on highs of €1.126 seen yesterday. As of just before 9:00 GMT, the pound had fallen slightly to be trading at €1.123 against the euro, according to data from Bloomberg. Brexit continues to be the main motivator for the exchange rates as investors keep a watchful eye on what Britain leaving the EU means for their money. In latest developments, Theresa May will travel to Brussels today to meet European Commission President Jean-Claude Juncker to secure her vision for Brexit.
The Prime Minister will enter crunch talks with Mr Juncker this afternoon ahead of a specially arranged summit of EU member states on Sunday which will seal the fate of the Prime Minister’s Brexit deal. Mrs May has come under further pressure in recent days not to succumb to EU demands after chiefs in Brussels missed a deadline to complete the text of its declaration on future ties with Britain. The EU was scheduled to complete the document yesterday but questions still hang in the balance over UK access to the single market. Other fundamentals still in the process of being thrashed out include access to UK waters for EU boats and the handling of Gibraltar.
Speaking yesterday, a diplomat said: "Still some work is needed on three aspects: fish, goods and Gibraltar. "Juncker and May will try to sort it out tomorrow." Another diplomat added: "The UK wants free movement of goods, which they won't get because that's back to discussing partial access to the single market, which we don't do.” The Prime Minister was reportedly warned not to come home from Brussels without securing further concessions from the EU. As critics from both Leave and Remain threaten to derail Brexit and block her Withdrawal Agreement from passing through Parliament, chief whip Julian Smith told Mrs May not to come home empty-handed. A source said: “The chief whip’s view is that fear of no deal will not be enough to win this one. “The numbers are terrible and he needs something sufficiently different from what people currently think they are voting for in order to get this through.”