(Reuters) The British pound fell on Tuesday against the euro and dollar after UK lawmakers rejected the government’s proposed Brexit timetable, but its losses were limited as chances of a no-deal exit from the European Union were seen as miniscule.
Although the vote on Tuesday left the pound down 0.56% against the dollar at $1.289, its bottom was only a two-day low. Against the euro it hit a session low and was last 0.38% weaker.
“Obviously this has been pound negative,” said John Doyle, vice president for dealing and trading at Monex Inc, “but the pound is still very elevated considering where it has been over the last couple of weeks.”
Ahead of those votes, Johnson had warned parliament that if it defeated him on the timetable and forced a delay until January he would abandon his attempt to ratify the deal and push for an election instead under the slogan of “Get Brexit Done”.
Johnson’s remarks following the vote mentioned neither.
“There has been no mention of him pulling the deal, no mention of an election, so those seem to be empty threats at the moment,” said Doyle, adding if the Prime Minister were to pursue an election it would likely be to advance the existing legislation.
