The chairman of Switzerland's largest financial institution is seeing what he calls an investor strike because the confusion and uncertainty surrou
The chairman of Switzerland’s largest financial institution is seeing what he calls an investor strike because the confusion and uncertainty surrounding Britain’s exit from the EU intensifies.
“I feel you’ve got seen, with Brexit but in addition with the commerce disputes, that there was an infinite improve in uncertainty,” UBS Chairman Axel Weber advised CNBC’s Geoff Cutmore on Saturday. “Uncertainty has been dangerous for investments all alongside. What you are seeing for the time being — and we’re seeing it in our consumer base — is nearly an investor strike.”
The German funding banker’s feedback got here in the course of the 2019 Annual Worldwide Financial Fund conferences in Washington, D.C., the place discussions centered closely on international financial turmoil attributable to commerce wars, protectionism and political instability.
“The best way I take a look at that’s whereas rates of interest are very very low, and the prices of funding are at historic lows, the elevated uncertainty about whether or not these tasks will repay, whether or not rejigging your entire manufacturing chain will repay, by having components of that manufacturing chain be in China — or for Europeans, within the U.Okay. — is a big uncertainty,” Weber mentioned. “And folks is not going to take these selections till the political selections are taken.”
S&P International Scores calculated within the spring that Brexit had, by final April, value the U.Okay. financial system $86 billion. The…