If the Brexit Deal negotiations are abandoned, the pound could lose 10 cents and drop to "$1.20

The pound is expected to plummet on foreign exchange markets if Boris Johnson abandons negotiations on an agreement with Brexit by tomorrow

Last night's last minute negotiations continued, with the EU calling for a trade deal to be agreed today to allow time for the terms to be ratified by politicians before the end of the year.

The pound, seen as a barometer of progress in the negotiations, has been trading at a one-year high of about $1.35, partly in hopes of a deal and also because the dollar is under pressure. Simon French, chief economist at Panmure Gordon, said that the markets believe a deal is coming, but if negotiations are abandoned, the pound could lose 10 cents and drop to "$1.20.

Sorce: The Times