Unhappy article 50 day

By |2017-03-28T10:11:48+01:00March 29th, 2017|Brexit|

So today's the day when Mrs May formally announces the withdrawal of the United Kingdom from the EU. It seems the time is right then to make a few predictions about the way things will go over the next few weeks and months as the negotiations commence and unfold: Value of sterling (£) The markets and money men seem to react most when there are nasty surprises. Given that article 50 has been a long time coming, I doubt whether today will see much of a change in the value of the pound. Indeed, it may even strengthen against the Dollar and Euro as teenage hedge-fund algorithm writers are most likely focussed on the political uncertainty of the coming European elections in France, Germany and Italy. However, the outlook for both Germany and France is positive for the pro-European parties so I'd expect the Euro to strengthen in May and then again in October. It is only the Italian elections in 2018 that are likely to provide any volatility - and even then the populists are unlikely to win [...]