Reuters (August 29)
“The prospect of a no-deal Brexit is becoming increasingly feasible in the eyes of investors who are hedging against the risk of the currency tanking if Britain is left isolated from the EU, its largest trading partner.” Bank of America Merrill Lynch has warned that central bank selling of more than 100 billion pounds in reserves “could be a major catalyst for a significant sterling downturn” should the UK leave the EU without a deal.
Tags: BAML, Brexit, Central bank, Currency, EU, Hedging, Investors, No-deal, Reserves, Risk, Sterling, Trading partner, UK
New York Times (July 23)
“To keep commerce going with China, Japan’s most important Asian trading partner, Mr. Abe has to stop rubbing raw the wounds of World War II. That includes not visiting the Yasukuni Shrine, where war criminals from that conflict are honored. Nor should his government divert budget resources into military muscle flexing. Pushing into these politically contentious areas would erode the economic progress and promise of stable political leadership Mr. Abe has just worked so hard to achieve.”
Tags: Abe, Budget, China, Commerce, Conflict, Criminals, Government, Japan, Leadership, Military, Progress, Trading partner, World War II, Yasukuni