Author: Nicholas Spiro

In a drama-free election, Prime Minister Keir Starmer’s landslide victory in the UK has reassured investors of the country’s political and policy stability. Following Liz Truss’ reckless fiscal plan that almost triggered a financial crisis, Starmer’s responsible government is restoring confidence in the economy. Meanwhile, France faces a hung parliament with potential prolonged political uncertainty, making post-Brexit Britain more attractive to investors. Amid global political turbulence, the US and France add to Britain’s appeal post-election. However, Labour’s victory masks underlying economic issues exacerbated by Brexit. Starmer’s cautious approach, while avoiding Brexit re-negotiations, may hinder economic recovery. Investors should remain cautious…

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The financial markets seem to be taking political risks in the United States and Europe more seriously. Recent events have highlighted the resurgence of populist threats in advanced economies, causing concern among global investors. US President Joe Biden’s poor performance in the presidential debate against Donald Trump and the strong showing of Marine Le Pen’s far-right party in France’s parliamentary election have pushed political risk to the forefront of investors’ worries. In prediction markets, Trump is now favored to win the election, with Biden’s chances dropping significantly. Investment banks are also assessing the potential impact of Trump’s policies on the…

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