With the initial market reaction to reports of the EU and the UK negotiators reaching an agreement on a text to deal with the Irish border, the GBP/USD pair surged to a daily high of 1.3047 but struggled to preserve its gains as British politicians quickly announced their opposition to the draft deal. At the moment, the pair is trading at 1.2950, still up 0.8%, or a little over 100 pips, on the day. Elaborating on the deal, "The backstop will come in the form of a temporary UK-wide customs arrangement, with specific provisions for Northern Ireland, which go deeper on the issue of customs and alignment on the rules of the single market than for the rest of the UK," RTÉ News' Europe Editor Tony Connelly wrote. In response to the leaked information, British Lawmaker Rees-Mogg said PM May's deal failed to meet the promises of the conservative manifesto and added that he would vote against it. Additionally, former Foreign Secretary Boris Johnson said that he hoped that the Cabinet and the Parliament would block the deal. Finally, Northern Ireland's DUP's Brexit spokesman told RTE radio that if the Brexit deal was as reported, it would be voted down and not accepted. The UK Cabinet is scheduled to meet tomorrow the draft deal. (source: fxstreet)