Economics
U.K. Markets Pounded and 'Brexit' Vote Doesn't Even Have a Date
- Pound, stocks decline as risks to U.K. economy stack up
- Turmoil is hurting outlook for Bank of England rate increase
A trader looks out onto the trading floor of the open outcry pit at the London Metal Exchange, on Jan. 14
Photographer: Simon Dawson/BloombergThis article is for subscribers only.
Wherever you look, Britain’s financial markets are creaking.
The pound is at the weakest level since 2010 against the dollar and on its worst-ever weekly losing streak against the euro. The FTSE 100 index of shares has fallen to the lowest since 2012 and the bond market’s inflation outlook is the worst since 2009. Against that backdrop, futures traders have pushed back expectations for a Bank of England rate increase by about eight months since the turn of the year, according to a Morgan Stanley index.