On the 19th October, 4most will be hosting an Economic Roundtable, hosted by Head of Economic Modelling Keith Church, which will outline key economic developments and the risks that lie ahead.
Last week we heard that the European Central Bank had closed ranks with the Bank of England to avert the Brexit crunch. With the vote of the EU Referendum hanging in the wings, the European Central Bank has pledged to flood the financial system with euro liquidity if credit markets seize up after a Brexit vote.
While Brexit may be dominating the headlines at the moment, some experts believe that a debt of €360bn in bad loans within a fragmented Italian banking sector, could be the biggest threat of all. The suggestion is that even a “small crisis” could trigger a chain of events that could potentially threaten the stability of the European Union, credit ratings agency Moody’s is reported to have said.
That is exactly what Albert Edwards strategist at the bank Société Générale would have us believe. Alongside RBS, he is warning of a new crash, saying oil price plunge and deflation from emerging markets will overwhelm central banks, tip the markets and collapse the Eurozone.