Follow Paul Donovan

Referendum resumption

| Posted by: Paul Donovan | Tags: Paul Donovan

  • The EU referendum campaigns restart in the UK, with the weekend's opinion polls showing basically a dead heat (the two sides within the margin of error of one another). The death of MP Jo Cox does not appear to have impacted opinion.
  • Ten Nobel Laureates for economics have written to the Guardian newspaper suggesting that the economic arguments favour the UK remaining in the EU. However polls suggest Leave supporters are motivated by immigration issues, so economics may not cause people to change sides.
  • India's currency has weakened on the news that Reserve Bank of India governor Rajan is to step down at the end of his term. Criticism of Rajan from within the governing party means this is not a major surprise, but the signalling effect to financial markets has been taken as negative.
  • German producer price inflation was a little stronger than expected. German wage pressures are growing significantly, however export producer price inflation is likely to have negative pressures from the Euro. The Bundesbank monthly report is due today.