British Financiers Freaking Out, Brushing Up On Their German; Jack Lew Not So Much

Big J's not sweating this.
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Sorry, Jack, but I couldn't get you that bottle of port. By US Department of the Treasury [Public domain], via Wikimedia Commons

via Wikimedia Commons

So we’ve had a whole weekend to process that thing that happened and its immediate aftermath, and it seems that we’re still processing it. Some of us more than others, like those some who work in the Britisheconomy.

Brexit is on everyone’s mind, as bankers absorb a second Big Bang as profound as the one three decades ago — though one without a road map forward….

Back in the City, some less-celebrated finance types, cramped outside a dark pub called Ye Olde Watling, contemplated an uncertain future. One wondered aloud whether he could still build a career in London. With the prospect of Frankfurt in the air, another joked that he was giving German lessons now.

“We can’t sugarcoat this—many of our members are feeling anxious,” said Simon Walker, the institute’s director-general. “A majority of business leaders think the vote for Brexit is bad for them.”

The other side of the Special Relationship is feeling a bit more sanguine, even if Janet Yellen’s working vacation to Portugal is among the less well-known casualties of the U.K. vote.

U.S. stocks remain more insulated from global developments than any other major equity market, as American companies generate 70% of revenues domestically….

“Once the emotion of this event fades, investors may get back to the fundamentals, which, at least in the U.S., are looking better.”

U.S. Treasury Secretary Jack Lew on Monday said he sees no signs of a financial crisis arising from Britain's decision last week to leave the European Union, although the result does present additional "headwinds" for the U.S. economy.

"It's been an orderly impact so far," Lew said in an interview on CNBC.

Treasury’s Lew sees no financial crisis from ‘Brexit’ [Reuters]
Brexit Selloff Highlights Strength of U.S. Market [Barron’s]
Pound, Stocks Battered Again by ‘Brexit’ [WSJ]
After ‘Brexit,’ a Splitting Hangover for the City of London [DealBook]
‘Brexit’ Vote Casts Pall Over U.K. Businesses [WSJ]
Yellen Panel Discussion With Carney Called Off After ‘Brexit’ [WSJ]

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