'May's Brexit steeplechase only just begun' - reaction to draft deal

Volatility expected for 'some months'

Jayna Rana
clock • 7 min read

As prime minister Theresa May reveals her draft Brexit deal, industry commentators assess its potential impact on financial markets - both in the near term and over the coming years of the impending transition period.

Karen Ward, chief market strategist for EMEA at J. P. Morgan Asset Management said the pound should see a boost on passage of the bill, which would in turn hit the FTSE 100 given the high proportion of FTSE earnings that are repatriated. She commented: "Going in to next year we expect business investment to experience a relief rally and higher sterling to depress inflation and lift real wages so consumer spending would also accelerate. "Given the Bank of England believe that the economy is already at capacity we think it will raise interest rates at a faster pace than the market curre...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

Reeves defends yearly Budget to avoid 'constant chopping and changing'

Reeves defends yearly Budget to avoid 'constant chopping and changing'

Treasury Committee scrutinises chancellor on Spring Statement

Isabel Baxter
clock 02 April 2025 • 3 min read
Five key takeaways from the Spring Statement 2025

Five key takeaways from the Spring Statement 2025

OBR growth, ISA reforms and defence

Sorin Dojan
clock 27 March 2025 • 4 min read
Bank of England halts interest rate cuts amid ongoing inflation

Bank of England halts interest rate cuts amid ongoing inflation

As priced in by markets

Sorin Dojan
clock 20 March 2025 • 2 min read