The British are leaving! The British are leaving! – Maybe. Friday provided a profound shock for the financial markets as the UK voted to leave the EU in the Brexit referendum. Over the past week, following the assassination of Labour MP Jo Cox, polls had shifted from favoring Leave to favoring Stay – right up until the last polls before voting. Indeed, even UKIP party leader Nigel Farage was indicating Thursday that Stay would scrape out a victory. The unexpectedness of the outcome generated substantial volatility and market angst in part because over optimism had led some to exit protective positions and they were forced to run to cover. What we learn from this is that predicting the future is never easy. Now economists have both weather forecasters and pollsters to joke about.
In its recovery over the past three years, the Spanish economy has outperformed the economies of all its Eurozone partners except Ireland. But clouds have gathered with the fears over Catalonia separatist politics and over the outcome of the general election expected to take place in December, and there have been some recent adverse economic indicators as well.
Bill Witherell of Cumberland Advisors discusses the devaluation of the Yuan.
GIC Board Member David Kotok talks about Puerto Rico's default and his new book, Adventures in Muniland, in advance of his book signing with GIC on August 20 in Philadelphia.
Bill Witherell of Cumberland Advisors talks about the Eurozone, outside of Greece.
CIO of Cumberland Advisors David Kotok discusses heavenly movements and Earth-bound economies.
GIC Member Bill Witherell discusses his recent trip to France.