Boris Johnson to become next UK Prime minister

Boris Johnson was announced today to have won the leadership contest of the UK Conservative Party. He garnered the votes of 92,153 party members, almost double the number of votes for his competitor, Foreign Secretary Jeremy Hunt (46,656). Tomorrow incumbent PM Theresa May will leave office after first seeing Queen Elizabeth to declare her demission, before Boris Johnson will enter Buckingham Palace to be formally appointed the next PM.

Highlights:

  • Today, Boris Johnson was announced to have won the leadership contest of the UK Conservative Party. He will replace Theresa May as UK Prime Minister (PM) tomorrow.
  • Johnson vowed to get the Brexit done on October 31 – “do or die” – but without presenting a clear concept. Over the next weeks, he is expected to tour European capitals for talks. We expect turbulent times ahead.
  • As the result of the leadership contest was widely expected, the British pound did not move much. EUR/GBP, close to 0.90, looks toppish, though in a worst-case scenario parity would be a distinct possibility (Hard Brexit unlikely, but risk may be as high as 20-25%).

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BORIS JOHNSON TO
BECOME NEXT UK
PRIME MINISTER

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