AGO, BRITISH PRIME MINISTER JUST
ANNOUNCING SHE WILL INDEED QUIT
AS THE U.K. CONSERVATIVE LEADER
ON FRIDAY, JUNE 7th.
SO THE QUESTION IS, WHAT'S NEXT
FOR BRITAIN'S EXIT FROM THE E.U.
IF THEY COULD EVER FIND A WAY
OUT AND HOW COULD THIS IMPACT
THE MARKETS.
JOINING US NOW ASHLEY
CASSERBERRY.
SHE WORKED WITH THE U.S. MISSION
TO THE UNITED NATIONS.
AND MICHAEL HEWSON, CHIEF MARKET
ANALYST.
THANK YOU FOR JOINING US.
ASHLEY, LET ME BEGIN WITH YOU.
SO NOW IT IS OFFICIAL, FINALLY
THERESA MAY -- I SAY FINALLY,
BECAUSE THIS HAS BEEN IN THE
WORKS FOR QUITE SOME TIME.
SHE WILL MOVE OUT OF THE WAY.
IF INDEED BORRIS JOHNSON IS HER
REPLACEMENT, WHAT DOES THAT
MEAN?
BECAUSE HE'S VERY MUCH A HARD
BREXITERE, HE'S HAPPY TO BAIL
OUT WITH NO DEAL IN PLACE.
HOW DOES THIS PROCESS MOVE
FORWARD, KNOWING THAT PARLIAMENT
IS NOT ON BOARD WITH WHAT BORRIS
JOHNSON WANTS TO DO.
>> THIS DEFINITELY IMPACTS THE
EUROPEAN PARLIAMENTARY ELECTIONS
WHICH THE EUROPEAN UNION WANTED
TO AVOID PREVIOUSLY.
THEY ARE VERY DISAPPOINTED WITH
THE FACT THAT THE POLITICAL
CRISIS GOING ON IN THE U.K. IS
SPILLING INTO THEIR MATTERS.
THEY FEEL IT'S A BUG BIG DISTRAC
THEY FEEL IT'S A BUG BIG DISTRAI
THEY FEEL IT'S A BUG BIG DISTRAN
THEY FEEL IT'S A BUG BIG DISTRA.
WITH REGARD TO BORRIS, IN TERMS
OF NEGOTIATING NEW DATES AS FAR
AS BREXIT, THE EUROPEAN UNION
TENDS TO BE KIND OF LIKE MORE
FIRM, OF WE'RE NOT WILLING TO
CHANGE THE DATES.
WE'RE STICKING WITH THE SCHEDULE
THAT WE HAVE.
I FEEL THEY'RE GOING TO BE NOT
AS FLEXIBLE AS THEY WERE PRIOR
TO.
ASHLEY: MICHAEL, LET ME BRING
YOU IN.
I FOUND IT INTERESTING THAT WE
SAW STERLING MOVE HIGHER THIS
MORNING WHICH I THOUGHT WAS
INTERESTING BECAUSE IT HAD BEEN
COMING DOWN ON FEARS THAT MAYBE
THE U.K.'S MORE LIKELY HEADING
TOWARDS A NO DEAL BREXIT.
WHY ARE WE SEEING THAT UPTICK IN
STERLING THIS MORNING?
>> WELL, I THINK YOU HAVE TO PUT
IT IN THE CONTEXT OF WHERE WE'VE
COME FROM.
WE'VE DECLINED 14 DAYS IN A ROW.
WE'RE WOMANING UP TO A LONG WEEK
-- WE'RE COMING UP TO A LONG
WEEKEND IN THE U.K. AS WELL AS
THE U.S.
I THINK SOME OF THOSE SHORT
POSITIONS HAVE BEEN TAKEN OFF.
SHE LAID OUT A TIMETABLE FOR HER
DEPARTURE, WHICH IS AFTER
PRESIDENT TRUMP LEAVES THESE
SHORES AFTER THE D. DAY COME
MEMBER
REMBER
REMEER
REMEMBRANCE.
I THINK THE FACT THAT BORRIS
JOHNSON MIGHT BECOME THE NEXT
LEADER, AND THAT IS A MIGHT AT
THE MOMENT BECAUSE HE STILL
NEEDS TO MAKE IT ONTO THE TICKET
AND THE M. P.s DRAW UP THE
TICKET AND THERE'S NOT A LOT OF
LOVE BETWEEN SOME
LOVE BETWEEN MOME
LOVE BETWEEN M.PE
LOVE BETWEEN M.P.s TOWARDS
BORRIS JOHNSON AND THE ELECTIONS
COULD DICTATE HOW THE EUROPEAN
UNION RETOOK THE POSSIBILITY OF
A POSSIBLE EXTENSION FIVE MONTHS
FROM NOW.
IF THE LIBERAL DEMOCRATS DO
PARTICULARLY WELL, AND WE'LL
KNOW THE RESULTS ON SUNDAY, THEY
COULD AFFORD TO CUT THE U.K. A
LITTLE BIT OF SLACK WHILE THEY
COME TO A COMMON POSITION.
WHAT IT DOES DO, IS IT MAKES A
GENERAL ELECTION PROBABLY MORE
LIKELY BETWEEN NOW AND THE END
OF OCTOBER.
ASHLEY: THAT'S A GOOD POINT.
LET ME FOLLOW-UP ON THAT.
BORRIS JOHNSON WILL HAVE THE
SAME PROBLEM THERESA MAY HAD.
PERHAPS THE ONLY WAY TO GET A
MAJORITY IN THE HOUSE OF COMMONS
IS TO GO TO A GENERAL ELECTION,
TO GET MORE VOTES IN PARREL PARI
TO GET MORE VOTES IN PARREL PARM
TO GET MORE VOTES IN PARREL PARN
TO GET MORE VOTES IN PARREL PAR.
IS THAT WHERE WE'RE HEADED?
>> IT MAY HAPPEN.
WE HAVE TO SEE HOW IT MAY IMPACT
THE BREXIT DECISION.
IF SO, THEY HAVE TO DEFINITELY
REACH SOME SORT OF POLITICAL
CONSENSUS IN THE PARLIAMENT
BECAUSE IF NOT, THEN IT'S GOING
TO DEFINITELY BE MORE POLITICAL
TURMOIL WITHIN THAT CAN
DEFINITELY IMPACT THE BREXIT
PROCESS GOING INTO THE SITUATION
IN OCTOBER.
ASHLEY: VERY QUICKLY, MICHAEL.
COULD THERE BE A SCENARIO WHERE
THERE'S A SECOND REFERENDUM?
>> I THINK THAT'S UNLIKELY.
I THINK SIMPLY BECAUSE OF THE
FACT THAT IT WILL BE VERY, VERY
DIFFICULT TO ACTUALLY PUT
TOGETHER A SECOND REFERENDUM IN
THE TIME ALLOTTED.
THAT BEING SAID, THERE'S ALSO A
CONCERN ABOUT LEGITIMACY.
I THINK THAT IS UP IN THE AIR.
ASHLEY: WHO KNOWS IN THIS