French government spokesman Gabriel Attal said on Wednesday that they could announce an update on possible sanctions against the UK over not respecting the Brexit deal and fishing arrangements by the end of the week, as reported by Reuters.

Market reaction

This headline doesn't seem to be having a noticeable impact on market sentiment. As of writing, the UK's FTSE 100 Index was virtually unchanged on the day at 7,222.

Meanwhile, the British pound is having a difficult time finding demand following the UK inflation report. Currently, the GBP/USD pair is down 0.25% on the day at 1.3760.