UK: Brexit poses n major risks – Goldman Sachs

Research Team at Goldman Sachs, remain optimistic relative to consensus on the prospects for UK GDP growth (our 2016 forecast of 2.5% compares with a Consensus forecast of +2.3%).

Key Quotes

“With the decline in energy prices and a gradual rise in nominal wage growth providing a boost to household real incomes, we expect strong growth in private consumption. However, the possibility of a UK exit from the EU poses a threat to our central growth forecast, raising the possibility of a significant slowdown in the event of a vote to leave.”

ECB at the Centre of attention this week - BBH

Research Team at BBH, suggests that the ECB meeting is the center of attention this week and a combination of renewed deflation (-0.2% year-over-year February CPI and 0.7% core rate), weakening economic data, and guidance by Draghi has fanned expectations that ECB will extend its unorthodox policies.
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UK decision to leave EU poses a significant risk to the EU - BBH

Research Team at BBH, notes that some suggest a UK decision to leave the EU also poses a significant risk to the EU.
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