Looking through the bluster of May’s speech here’s 5 key elements to it and what they mean going forward
For the pound, the
market wants one thing above all, and that’s a clear, near-term plan. This isn’t
the negotiation so that’s another battle to come. The immediate path is clear,
that the UK is coming out, and now there’s no confusion about hard or soft Brexit. It’s
exit pure and simple, and the devil will be in the detail later. That’s why the
pound is higher, even though previously a hard exit was viewed as negative. In
this speech, May has shown she’s in control. How long that lasts is anyone’s
guess, and it won’t be long before the UK press and MP’s start making themselves
heard (see Sturgeon). One big test of this speech will come tomorrow during
Prime Ministers Question time. That could be a hot show to click into from
12.00GMT.