A couple of articles from the well known pro-EU Telegraph and two well-known pro-EU commentators, Ambrose Evans-Pritchard and Jeremy Warner.
http://www.telegraph.co.uk/business/...een-verdict-a/
Quote:
The bond vigilantes are sharpening their knives. The last five trading sessions have seen a sudden and potentially ominous shift in the reflexes of the Gilts market, a sign that ‘hard Brexit’ rhetoric has rattled global debt managers.
“For the first time, foreign investors are beginning to question the credit-worthiness of the United Kingdom, “ said Vatsala Datta, UK rates strategist at RBC.
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There goes one of John Redwood's points he used to gloat after the referendum result.
Quote:
Break-even rates stopped rising last week, yet this time Gilt yields spiked higher, a divergence of 18 basis points. RBC said the pattern in the interlocking currency and debt markets is clear: sterling is no longer trading like a bona fide reserve currency.
“The parallel sell-off in gilts and sterling is potentially a worrying development, consistent with the UK’s having growing difficulty funding its internal and external deficits,” it said.
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Beware, a long period of belt-tightening is in prospect
Quote:
Does this sound familiar? The pound has long been far too strong, so devaluation is very much to be welcomed; it will allow Britain to tackle the “root cause” of its economic travails, “break out from the straitjacket” of boom and bust, and “in summary … sell more goods abroad on a competitive basis”.
Well it should be familiar, because it is the sort of stuff we have been hearing almost daily from leading Brexiters ever since the pound took its latest, post-referendum tumble.
But it is also almost word for word what Harold Wilson said about his own devaluation nearly 50 years ago. As everyone who lived through those times knows, he then went on to explain: “It does not mean, of course, that the pound here in Britain, in your pocket or purse or in your bank, has been devalued.
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Looks as though the Telegraph has joined in talking the country down now. Hang them all for treason.