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Banks warn Scotland 'Yes' vote could trigger recession

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September 10, 2014 banks, credit suisse, david cameron, forex, forex fx, fx, gbp, gbpusd, lea jakobiak, macro, nick beecroft, nick beecroft chairman saxo capital markets, nomura, pmqs, politics, saco bank, saxo bank, saxo tv, scotland, scotland recession, scottish independence, scottish referendum, sterilng, trade, trade viea, tradingfloor.com, uk, united kingdom, video, yougove
The headlines surrounding the Scottish independence seem to be getting more and more dramatic; Nomura now says the pound could drop 15 percent if Scotland votes 'Yes'. Meanwhile, Swiss bank Credit Suisse warns that Scotland could face a "deep recession" should its people vote to secede from the UK.

With the latest YouGov poll showing the 'Yes' camp is leading the race by 51% to 49%, Prime Minister David Cameron chose to miss Prime Minister's Questions and instead travel to Scotland to campaign for the Union.

Nick Beecroft, Chairman of Saxo Capital Markets, explains that indeed the real problem would lie with Scotland and not the rest of the UK. For the the UK, besides the "cultural sadness" attached to the event, financially it would be the equivalent of the US losing Texas. In fact, he thinks Scotland could face economic problems until March 2016.