SaxoTV

ECU Group: Why we shouldn't fear 'Brexit'

414 views
February 08, 2016 brexit, britain leave europe, britain referendum, britain vote eu, britain vote europe, british pound, british referendum, britsh election, business, capital flows, content, ecu, ecu group, eec, equities, equities trading, erm, eu, eur, eurgbp, euro, euro area, euro dollar, euro zone, eurodollar, europa, europe, european, european central bank, european economy, european union, european union vote, eurozone, eurozone crisis, eurozone economy, eurozone recovery, eurusd, finance, finance news, financials, fx, gb, gbgbgb, gbp, gbp eur, gbp europe, gbp falling, gbp referendum, gbp trading, gbp trading 2014, gbp usd, gbp vote, gbp weakening, gbpeur, gbpusd, gbpusd trade idea, goldman, goldman eu, goldman euope, goldman sachs, good for uk, leave europe, leave the eu, london, macro, margeret thatcher, markets, markets trading, michael, michael petley, news, norman lamont, owen thomas, petley, referendum, referendum uk, referendum uk europe, sachs, saxo tv, thatcher, thatcher eu, tradingfloor.com, tv, uk, uk crashes out erm, uk economy, uk eu vote, uk europe, uk growth, uk leave the eu, uk recovery, uk referendum, uk vote, video, video content, volatility, vote
The European Union needs to integrate further to succeed and it would be able to do that more effectively if Britain weren't a part of it; that's the view of the ECU Group's Chief Investment Officer, Michael Petley. He says there would be a knee-jerk market reaction to such a vote in the upcoming referendum on the issue, but in the longer term a split would be better for both Europe and for the United Kingdom.
Petley says that a vote for 'Brexit' would be seen as a 'golden moment' for the UK. He agrees with Goldman Sachs which said last week that sterling could fall by up to 20% on the move. However, such a currency devaluation would be a shot in the arm for the British economy, he says, and while some doors would close, 'many more' would open up. 
The British Prime Minister, David Cameron, has promised a referendum on the UK's membership of the EU by the end of 2017. It's widely thought a vote could be held as early as this June.