Brexit Limbo
At present Theresa May is in talks with Jeremy Corbyn in order to try and come up with a mutually acceptable deal to put to Brussels. The problem is May can’t even get a deal that is acceptable within her own party let alone Labour as well.
Her deal has been rejected three times and Brussels are stone walling us on the Irish border. Brussels have reiterated there will be no changes to the deal on the table yet May continues to try and gain concessions.
I believe Brussels are making the UK’s exit from the EU very difficult. If the UK were to gain decent terms and leave in a quick fashion it could encourage other countries to follow suit, creating a domino effect. Brussels would like to avoid anything that threatens the bloc.
Brexit has reached an impasse and the situation will remain in Limbo until we get firm news on Brexit progression. Personally I feel we could be in a very similar position to where we are now in October.
CHF could gain value due to safe haven status
Sterling will liekly remain fragile against the Swiss franc and the majority of major currencies until we have some clarity on the Brexit situation. The Swiss franc could prove to be a destination of choice for investors due to global economic uncertainty. Ongoing trade wars that have been started by the Trump administration, a slowdown in economic global growth and Brexit are influencing investors to seek out safe haven currencies such as the Swiss franc which could strengthen the currency against the pound.
You Might Also Like
SNB Sight Deposits: Inflation is there, CHF must Rise
2021-07-19
Sight Deposits have risen by +0.2 bn CHF, this means that the SNB is intervening and buying Euros and Dollars.
Swiss Banks Boost Capital Bases Despite Coronavirus Crisis
2021-06-18
Swiss banks have been able to strengthen their capital bases despite deteriorating economic conditions during the coronavirus pandemic, according to the Swiss National Bank (SNB). This applies to the two big banks, UBS and Credit Suisse, and also domestic banks.
Swiss central banker wary of excessive inflation
2021-05-26
The Swiss National Bank (SNB) can expand its balance sheet further if needed, says chairman of the board Thomas Jordan.
2021-04-23 – U.S. dollar liquidity-providing operations from 1 July 2021
2021-04-24
In view of the sustained improvements in U.S. dollar funding conditions and low demand at recent U.S. dollar liquidity-providing operations, the Bank of England, the Bank of Japan, the European Central Bank and the Swiss National Bank, in consultation with the Federal Reserve, have jointly decided to discontinue offering dollar liquidity at the 84-day maturity.
Anlagepolitik der SNB laut Studie wenig nachhaltig
2021-03-31
Der Vergleich der Klimaschutzanstrengungen verschiedener Zentralbanken zeige, dass die SNB im internationalen Vergleich der G20-Staaten lediglich 24 von 130 Punkten erreiche, heisst es in einem Communiqué vom Mittwoch. Damit lande die SNB auf dem achten Rang hinter Ländern wie China, Brasilien und den europäischen Nachbarländern.
Swiss balance of payments and international investment position: 2020 and Q4 2020
2021-03-29
The current account surplus in 2020 was CHF 27 billion, down CHF 22 billion on the previous year. This decline was particularly due to the lower receipts surpluses in trade in goods and services. In the case of goods, the decline in receipts – with expenses remaining unchanged – caused the balance to decrease by CHF 11 billion to CHF 64 billion.
Understanding Minimum Wage Mandates: Empirical Studies Aren’t Enough
2021-02-15
It is only through the increase in capital goods, i.e., through the enhancement and the expansion of the infrastructure, that labor can become more productive and earn a higher hourly wage.
SNB-Jordan: Haben gute Lösung zu höheren Gewinnausschüttungen getroffen
2021-02-02
“Wenn es der Nationalbank über die Jahre gut geht, kann sie viel ausschütten. Wenn es aber schlechter geht, werden wir die Ausschüttungen wieder reduzieren”, sagte Jordan weiter. Dabei stütze sich die neue, am vergangenen Freitag kommunizierte Vereinbarung auf die alten Abmachungen zur Ausschüttung an Bund und Kantone, nur dass die Bilanz und die Ausschüttungs-Reserve heute deutlich höher seien als vorher.
Tags: Jeremy Corbyn,newsletter,Theresa May
