Brexit News Archive: 26 Jul 2016

Equity Market Highs, Bond Yields At Record Lows. Who's Right?

Equity Market Highs, Bond Yields At Record Lows. Who's Right? by Francis Gannon, The Royce Funds With the post-Brexit environment in the U.S. presenting a classic disconnect between the equity and bond markets, Co-CIO Francis Gannon looks at what might [...]
Value Walk   |   Tue, 26 Jul 2016 19:45:40

COLUMN-Trump, the risk even central banks can't backstop: James Saft

July 26- If Brexit didn't scare financial markets confident in the support of central banks, maybe the prospect of President Donald Trump will. That Brexit, which will slow global growth and imperil the European Union, led to a rally in riskier assets is testament to investors' mastery of the lesson ...
CNBC   |   Tue, 26 Jul 2016 19:00:00

It's not too late for SAB Miller to back out of its mega-merger

The fall of sterling after Brexit and sales in Africa mean that a bad deal for shareholders last autumn looks even worse now If you assumed SAB Miller had already been consumed into Anheuser-Busch InBev's monopolistic megabrew mash-up, think again. It was only the cut-and-thrust of the bidding chapter that ...
Nils Pratley   |   Tue, 26 Jul 2016 18:48:13

AB InBev bid for SABMiller loses its fizz

Shareholder objections to the deal structure amid post-Brexit currency falls could sink Megabrew tie-up
FT   |   Tue, 26 Jul 2016 18:38:13

Do Declining Restaurant Sales Signal An Upcoming Recession?

A recession is coming for the restaurant industry according to Stifel. MS: Brexit Could Spark Global Recession In a research note sent out to clients today, a copy of which has been reviewed by ValueWalk, analysts at Stifel lay out [...]
Value Walk   |   Tue, 26 Jul 2016 17:15:40

Ukip needs to reshape or it will die

The party that brought us Brexit is locked in a battle to redefine itself, writes Sebastian Payne
FT   |   Tue, 26 Jul 2016 17:05:13

David Einhorn is back on his jelly donut kick

David Einhorn, founder of hedge fund Greenlight Capital, believes that Brexit means more monetary easing is on the way. And he explained this concept the same way he's been doing it for years - by talking about jelly donuts. "Brexit by itself will not be a significant economic event," Einhorn ...
Money Game   |   Tue, 26 Jul 2016 16:42:21

Trump, the risk even central banks can't backstop

If Brexit didn't scare financial markets confident in the support of central banks, maybe the prospect of President Donald Trump will.
IFR   |   Tue, 26 Jul 2016 15:43:00

UK supermarket sales fall 2.4% in poor July weather

Big retailers saw worst sales performance for two years in month after Brexit vote but analysts blame bad weather Supermarkets endured their worst sales performance in at least two years in the month following the Brexit vote but analysts are blaming poor weather rather than fears about life outside the ...
Sarah Butler / Guardian   |   Tue, 26 Jul 2016 15:35:18

Global economy still firming

The view here that an upswing in global economic growth is under way and will not be derailed by "Brexit" received support from last week's "flash" purchasing managers' surveys for July, showing stronger results in the US and Japan and little change in the Eurozone, despite the expected UK slump. ...
Money Moves Markets   |   Tue, 26 Jul 2016 15:06:42

Two 10%+ Yields in Danger, And 3 Safer Income Buys

The market keeps reaching record highs and many analysts worry equities are overvalued in a post-Brexit, stagnant global economy. But that isn't stopping irrational exuberance from causing overvalued stocks to climb ever higher. We are at risk of rapidly declining stock prices when the market comes to its senses. And ...
Brett Owens, Contributor / Forbes   |   Tue, 26 Jul 2016 14:33:00

U.S. Consumer Confidence Virtually Unchanged for July

A gauge of U.S. consumer confidence edged lower, but was relatively unchanged in July, a sign American households are shrugging off global economic uncertainty in the wake of the Brexit vote.
WSJ   |   Tue, 26 Jul 2016 14:16:52

London to Trump: Brexit is Protrade, Thank You Very Much

The U.K.'s new trade minister says Britain would 'very much welcome hearing more free-trade voices' in the U.S.
WSJ Economics   |   Tue, 26 Jul 2016 14:15:31

Investors Pulled $20.7 Billion from Hedge Funds In June

Traders work at the post where shares of Patheon NV is traded on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., July 21, 2016. Reuters Looks like investors didn't trust their hedge funds to, you know, hedge against upcoming Brexit-related market turmoil. Investors pulled ...
Focus on Funds   |   Tue, 26 Jul 2016 13:40:08

Theresa May and Enda Kenny hold talks at Downing Street

Prime Minister Theresa May holds talks with Taoiseach Enda Kenny in London, focussing on Brexit.
BBC   |   Tue, 26 Jul 2016 12:48:04

Beer giant AB InBev ups offer for SABMiller

The merger is in jeopardy following the "Brexit" vote that tanked the British pound.
USA Today   |   Tue, 26 Jul 2016 12:15:59

Anheuser-Busch InBev increases megamerger bid for SABMiller

The world's largest brewer Anheuser-Busch InBev has sweetened its takeover offer for British rival SABMiller because of the sliding value of the pound following the Brexit vote.
euronews   |   Tue, 26 Jul 2016 12:07:16

RPT-COLUMN-Trump, the risk even central banks can't backstop: James Saft

July 26 (Reuters) - If Brexit didn't scare financial markets confident in the support of central banks, maybe the prospect of President Donald Trump will.
Reuters   |   Tue, 26 Jul 2016 12:00:01

5 Multinational Stocks With Stable Cash Flow

Richard Nield of Invesco International Growth is exploiting Brexit to snatch up oversold firms with good earnings.
Barrons   |   Tue, 26 Jul 2016 11:23:48

Earls Court land value cut by 14%

London property group reduces value of estate by £200m due to 'weakened sentiment' after Brexit vote
FT   |   Tue, 26 Jul 2016 11:04:21

Business borrowing falls for first time this year

Uncertainty over Brexit and interest rates have seen company credit requests slump by value of more than £500m Business borrowing dropped for the first time in 2016 last month, as companies delayed investment decisions because of uncertainty created by the EU referendum. Mortgage borrowing also fell between May and June, ...
Angela Monaghan / Guardian   |   Tue, 26 Jul 2016 10:24:14

Brewer AB InBev hikes offer for rival SABMiller

Move comes after slide in value of the pound following the Brexit vote
Freya Berry and Philip Blenkinsop / Globe and Mail   |   Tue, 26 Jul 2016 09:43:34

History tells us what may happen next with Brexit & Trump

Easily the scariest thing I consumed today, and I'm watching strange Things. â Daniel Egan (@daniel_egan) July 26, 2016
MoneyScience   |   Tue, 26 Jul 2016 09:17:02

Canada, don't be a pawn for exuberant Brexiters

Brexit's ambassadors should make their own case for latter-day isolationism, without trying to drag Canada into their domestic politics
DENIS MacSHANE / Globe and Mail   |   Tue, 26 Jul 2016 09:00:00

FT Opening Quote: Reprieve for Openreach

Ofcom rules on Openreach, CMC rules on Labrokes-Coral merger, Sergo shrugs off Brexit gloom. FT Opening Quote is your early Square Mile briefing. You can sign up for the full newsletter here. Continue reading: FT Opening Quote: Reprieve for Openreach
FT Alphaville   |   Tue, 26 Jul 2016 07:09:52

Cello to deliver strong full-year results

Cello Group plc (LON:CLL) said there had been no noticeable impact from Brexit on the spending patterns of its customers as it confirmed it would deliver strong full-year results in line with expectations. In an update covering the first half, the health marketing specialist confirmed that first half profits would ...
Proactive Investors   |   Tue, 26 Jul 2016 06:34:00

COLUMN-Trump, the risk even central banks can't backstop: James Saft

July 26 (Reuters) - If Brexit didn't scare financial markets confident in the support of central banks, maybe the prospect of President Donald Trump will.
Reuters   |   Tue, 26 Jul 2016 04:01:01

USD/JPY Intermarket: Funding the rally in Dow Jones

Global markets were rocked by Brexit vote on June 24. The result was a drop in the USD/JPY pair to a low of 97.79 levels on June 24. Dow index also pr
Omkar Godbole / FX Street   |   Tue, 26 Jul 2016 04:00:17

Big Week For Earnings: Opportunities To Purchase Amazon, Apple, Facebook and Google For A Discount?

Earnings season provides numerous opportunities to develop options trading strategies that are intriguing in high implied volatility trading situations. Stock indices experienced that during the Brexit vote and many individual stocks are experiencing that now. The choice of options trading strategies is limited, but the number of scenarios in stocks, ...
Fred Oltarsh, Contributor / Forbes   |   Tue, 26 Jul 2016 02:53:00

Things are Great...Buy Stocks! Things are Terrible...Buy Stocks!

What looks like a classic rotation into cyclical stocks is happening without a rotation out of defensive shares, presenting a puzzle. The answer could lie in a mix of finance psychology and the aftermath of panic over China and Brexit.
WSJ   |   Tue, 26 Jul 2016 00:18:36

UPDATE 2-Pimco reducing junk bonds, other corporate debt -Ivascyn says

NEW YORK, July 25- Pimco has been reducing its exposure to junk bonds and investment-grade corporate debt following the latest credit rally, the firm's group chief investment officer, Dan Ivascyn, said on Monday. Britain's vote on June 23 to leave the European Union, known as Brexit, has compounded an uncertain ...
CNBC   |   Mon, 25 Jul 2016 21:16:00

Stephen Roach Says Trump's Right On Globalization: It's A Broken System

Authored by Stephen Roach, originally posted at Project Syndicate, While seemingly elegant in theory, globalization suffers in practice. That is the lesson of Brexit and of the rise of Donald Trump in the United States. And it also underpins the increasingly virulent anti-China backlash now sweeping the world. Those who ...
Zero Hedge   |   Mon, 25 Jul 2016 20:25:00

Are Equities Cheap Or Expensive When Compared To Bonds?

One of the topics that has dominated the post-Brexit equity market environment has been market valuation, specifically the market's valuation in relation to bond yields. A broad selection of analysts across Wall Street have weighed in on this issue, and [...]
Value Walk   |   Mon, 25 Jul 2016 19:33:48

History Tells Us What May Happen Next With Trump, Brexit And Putin

Are we heading into a period of mass destruction?This article was originally published on...
Distressed Volatility   |   Mon, 25 Jul 2016 19:27:00

Yield on US 2-year hits high after note sale

U.S. Treasury bonds continued to decline on Monday, with yields creeping up towards levels reached around the Brexit vote on June 23.
CNBC   |   Mon, 25 Jul 2016 19:04:00

Stocks Redline As Key Sentiment Metric Leaves And Enters "Mania" Phase

Ever since the unprecedented Brexit bounce in markets, underpinned by loud guarantees from central bankers around the globe that risk assets will simply not be allowed to sell off, increasingly more vocal concerns have emerged about trader complacency, culminating this morning in an article by Mohamed El-Erian titled "Calm markets ...
Zero Hedge   |   Mon, 25 Jul 2016 18:17:37

Veolia: trash talks

Brexit cannot stop the waste recycling trend begun by the EU
FT   |   Mon, 25 Jul 2016 16:43:00

Mark Carney Has Started A Revolution By Embracing Fintech And Blockchain

In the aftermath of Britain's referendum vote to leave the European Union, BREXIT's loudest advocates scurried from public view and the political establishment descended into a caustic battle for control. Emerging from the melee was Theresa May, who has a reputation for consistency, if little else. But the UK doesn't ...
Alex Tapscott, Contributor / Forbes   |   Mon, 25 Jul 2016 16:30:00

UK, EU Begin to Discuss Deal on Migrants, Trade Post-Brexit

EU Observer. Belgium.
EU Observer. Belgium. / World Affairs   |   Mon, 25 Jul 2016 15:55:46

This Is Why I Think Trump Will Win - And Brexit Showed Why

I've read tens of thousands of words about why Donald Trump won't be President - mostly written in what I suppose we should call future-hopeful tense. Surely, he can't. Really, he mustn't. Honestly, he shouldn't. But the intellectual dexterity of these highly paid and pleading columnists is nowhere near as ...
Grant Feller, Contributor / Forbes   |   Mon, 25 Jul 2016 15:55:00

Gold falls as rate hike speculation mounts

It seems we've gone back in time: gold is headed for another session of losses as the prospect of a US interest rate rise weighs on the precious metal. At the start of summer there were similar murmurings of a rate hike from the Federal Reserve although Brexit made sure ...
Proactive Investors   |   Mon, 25 Jul 2016 15:01:00

Green under pressure over BHS scandal, as UK business confidence slides - as it happened

Businesses take fright after Brexit vote, as Philip Green faces mounting criticism over collapse of BHS UK business confidence takes a tumble Diary of a BHS worker 3.58pm BST That's a good moment to wrap up for the day. Here's a brief reminder of the key points. Sir Philip Green ...
Graeme Wearden / Guardian   |   Mon, 25 Jul 2016 14:59:04

The Amerexit

Brexit is less a cause of future problems for Europe than it is a consequence of the dramatic re-ordering of the world that took place after 1990.
The American Interest   |   Mon, 25 Jul 2016 14:23:54

UK to Support Centralized Renewable Energy

What's the future of renewable energy in the UK post-Brexit? There are many variables to consider and the landscape keeps changing every day. However, an initial analysis shows offshore wind will be the biggest winner, while established technologies will have to fight it on their own.
REN   |   Mon, 25 Jul 2016 14:12:00

USD/JPY inter-markets: runs the risk of a sharp reversal if risk sentiment deteriorates

After staging a remarkable recovery of nearly 750-pips from sub-100.00 level, recovering all of the Brexit-led sharp losses, the USD/JPY pair has now
Haresh Menghani / FX Street   |   Mon, 25 Jul 2016 14:03:58

Bond Yields - Risk Of A Data Tantrum

Bond Yields - Risk Of A Data Tantrum by RichardsonGMP Contributors: Craig Basinger, CFA; Gareth Watson, CFA; Derek Benedet, CMT; Chris Kerlow, CFA; Shane Obata Everyone is keenly aware bond yields are low and moved lower following the Brexit vote. [...]
Value Walk   |   Mon, 25 Jul 2016 13:53:52

Ryanair to reduce number of flights from London Stansted airport

Dublin-based airline eyes greater expansion outside the UK amid economic uncertainty triggered by Brexit vote Ryanair is cutting the number of flights it offers from London Stansted and shifting its focus towards growth at airports outside the UK following the surprise Brexit vote in June. The Dublin-based airline said it ...
Angela Monaghan / Guardian   |   Mon, 25 Jul 2016 13:48:21

Britain's manufacturers haven't been this depressed since the financial crisis

Britain's manufacturing sector has fallen into a deep funk following the Brexit vote, figures out on Monday show. The latest Confederation of British Industry (CBI)'s Industrial Trends Survey gave a confidence reading of -47%, the lowest figure since January 2009 (-64%) when Britain was at the height of the financial ...
Business Insider   |   Mon, 25 Jul 2016 11:19:39

TAKE THIS BRITS Prime Minister To Launch Horrific Industrial Policy

So is this a ramification of Brexit? Economist reports: Theresa May, Britain's new prime minister, has certainly been bold, maybe even foolhardy, in some of her cabinet appointments. But she has been equally bold in elevating "industrial strategy" to the top of her new government's agenda-a move that could mark ...
Economic Policy Journal   |   Mon, 25 Jul 2016 10:42:00

Market briefing: US markets ended in positive territory on Friday, supported by gains in telecom sector stocks

UK Market Snapshot UK markets closed mixed on Friday. The FTSE 100 index ended higher after disappointing manufacturing and services PMIs in the UK for July fuelled speculation that the Bank of England would ease monetary policy to counter Brexit after effects. Vodafone Group climbed 4.6%, after it posted upbeat ...
Proactive Investors   |   Mon, 25 Jul 2016 07:25:00

USDJPY: Technical factors constructive and another attempt at 107.50 area likely - BBH

Research Team at BBH, notes that the dollar pushed higher against the yen and surpassed the JPY106.85 pre-Brexit high before reversing sharply (key re
Sandeep Kanihama / FX Street   |   Mon, 25 Jul 2016 07:23:02

Beaufort Securities Breakfast Alert: Big Yellow, CRH, Vodafone

Markets Europe The FTSE-100 finished Friday's session 0.46% higher at 6,730.48, whilst the FTSE AIM All-Share index closed 0.26% better-off at 740.22. In continental Europe, markets ended mixed after the release of weak economic data in the region. Investors remained concerned over the Eurozone's economic growth after Brexit. France's CAC ...
Proactive Investors   |   Mon, 25 Jul 2016 07:17:00

Io, Saturnalia!

Ah, Brexit! What is there left to say that not already been said, most of it either out of folly or falsehood? As regards the...
Cobden Centre   |   Mon, 25 Jul 2016 07:15:42

Plentiful event risk into month end

FTSE 100 called to open +5pts at 6735, amid its post-Brexit uptrend, with an overnight test of 6750 keeping Bulls optimistic about the potential for 7122 all-time highs to be revisited. Rising lows support remains valid at 6700, the floor of a 2-month rising channel that began mid-May and resumed ...
Proactive Investors   |   Mon, 25 Jul 2016 07:11:00

Ryanair Posts 4% Profit Rises, Sticks With Forecasts

Ryanair stuck to its earnings target for the year after first-quarter profit rose 4%-bucking a trend for European carriers, whose earnings have been hit by shocks including terrorist attacks, air-traffic-control strikes and Brexit.
WSJ   |   Mon, 25 Jul 2016 05:52:12

Further reading

Elsewhere on Monday, - Bill McBride: The future is still bright! - You break it, you pay for it, Brexit edition. - John Lanchester on Brexit: "One of the things you notice, travelling around the country talking to people about economics, is that young people in particular feel they are ...
FT Alphaville   |   Mon, 25 Jul 2016 05:33:57

Petrobras at risk as Brazil's endless crisis deepens

The figure of Christo Redentore above Rio's Maracana stadium, where the Olympics will open © Getty Images With so much attention focused on the questions of Brexit and the American presidential election it is miss the problems of other parts of the world. Latin America is a prime example of ...
Nick Butler   |   Mon, 25 Jul 2016 04:30:02

Down With Élites!

"I love the poorly educated," Donald Trump said during a victory speech in February, and he has repeatedly taken aim at America's élites and their "false song of globalism." Voters in Britain, heeding Brexit campaigners' calls to "take back control" of a country ostensibly threatened by uncontrolled immigration, "unelected élites," ...
New Yorker   |   Mon, 25 Jul 2016 04:00:00

USD/JPY comes down to test 5-DMA

Having spiked to levels seen pre-Brexit, the USD/JPY pair is now seen easing-off daily tops as the yen demand picks-up pace as markets digest upbeat J
Dhwani Mehta / FX Street   |   Mon, 25 Jul 2016 02:52:04

Asian shares near nine-month peak, dollar shines

Asian shares held near nine-month highs on Monday as worries over the impact of Britain's Brexit vote eased amid efforts to maintain growth, while the dollar was buoyed by a run of solid U.S. economic data
Hideyuki Sano / Globe and Mail   |   Mon, 25 Jul 2016 01:07:14

Asian shares near nine-month peak, dollar shines

By Hideyuki Sano TOKYO (Reuters) - Asian shares held near nine-month highs on Monday as worries over the impact of Britain's Brexit vote eased amid efforts to maintain growth, while the dollar was buoyed by a run of solid U.S. economic data. Policy makers from the Group of 20 countries ...
Business Insider   |   Mon, 25 Jul 2016 00:54:01

What's driving the dollar to four-month highs?

Westpac Bank Global Head of FX Strategy Robert Rennie says strong economic data and limited Brexit impact have pushed the dollar higher.
CNBC   |   Mon, 25 Jul 2016 00:13:00

Veolia gives UK £750m vote of confidence

Post-Brexit boost as French services group plans 600 jobs and investment drive
FT   |   Sun, 24 Jul 2016 23:00:03

G-20 Fears Brexit Blowback if Breaking Up Is Hard to Do

Agence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesAgence France-Presse/Getty ImagesG-20 Finance Ministers Fear Brexit Blowback if Breaking Up Is Hard to Do Global finance chiefs meeting in China urged U.K. and ...
WSJ   |   Sat, 23 Jul 2016 22:54:52

What to watch for at the ECB meeting

Draghi set to wrestle with Brexit economic fallout, QE headaches and problems with Italian banks
FT   |   Thu, 21 Jul 2016 04:32:10

IMF cuts UK growth forecasts following Brexit vote

Predictions revised down from April as IMF says EU referendum result has 'thrown a spanner in the works' of global recovery The International Monetary Fund has slashed its forecast for UK growth next year after warning that the decision to leave the EU had damaged the British economy's short-term prospects ...
Larry Elliott Economics editor / Guardian   |   Tue, 19 Jul 2016 23:10:15

Brexit News Archive: 26 Jul 2016     |     enquire