European heads of state to hold summit on June 28-29 - BBH

Research Team at BBH, suggests that the fact that the three markets, the capital markets, bookmakers, and the events markets all had are badly wrong, and many polls under-estimated the strength the Brexit vote, the tools we use have been compromised. 

Key Quotes

“We quickly recognized the significance of Cox's murder, but it only managed to slow and not reverse the swing toward Brexit. 

The European heads of state are holding a previously scheduled summit on June 28-29.  Several key officials warned during the campaign that a decision to leave would meet an uncompromisingly firm EC.  The logic that made them treat Greece as an example leads to the same treatment of the UK.   The UK just lowered the barrier to exit, and that barrier needs to be resurrected in some fashion. 

Merkel and Hollande may take a page from football to find that strong defense is a good offense.  They may choose to demonstrate the commitment to the European project by agreeing to new measures of integration.  Defense and/or security areas may be more promising at this juncture than economic or financial.”