"Collective responsibility" in action


"Collective responsibility" in action

This week, Brexit Secretary David Davis has taught us that the best way for a senior cabinet member to secure a date with Theresa May is to threaten to quit. What he wanted was a firm end date for the backstop customs agreement that will be put in place if a permanent one cannot be made with the EU by December 2021. Davis got his date but in classic Theresa May style it was far from firm. This nicely complements her inability to take a firm stance against members of her own cabinet. More importantly, it does little to crystallise the post-Brexit Irish border and UK-EU trade relationship.
 
Elsewhere, trade and geopolitics have taken centre stage, with markets having the G7 and Trump-Kim summits to worry about. They seemed to take this all in their stride for much of the week, only for Chinese and German stocks to drop sharply on the morning of the first day of G7 talks in Canada. All this geopolitical risk has at least been good for global money market funds. In the week to Wednesday, net inflows were the largest since the fourth quarter of 2013.

Read what the team at FE consider to be significant over the current week.