Risk of Accidental Hard Brexit Is Much Higher, Says Acreditus’s Kraemer

The video discusses the implications of Brexit on credit ratings, highlighting the increased risk of a hard Brexit and its potential negative impact on ratings. It also examines market complacency regarding UK assets, despite political uncertainty. The discussion extends to global economic concerns, including trade issues, potential policy mistakes, and the limitations of central banks and fiscal policies in addressing future crises.

What was highlighted as a major risk following the Brexit discussions?

• Improved credit ratings

• Increased trade with the EU

• An accidental hard Brexit

• A smooth transition

How did the market react to the political uncertainty in the UK?

• The pound was unaffected

• The pound depreciated significantly

• The pound remained stable

• The pound appreciated

What is the market's current perception of global political uncertainty?

• It is well-integrated into market valuations

• It is underestimated

• It is overestimated

• It is irrelevant

What global factor is contributing to the questioning of the global growth story?

• Stable interest rates

• Decreasing bond yields

• Increasing stock market values

• Rising inflation rates

What is the current state of policy rates by major central banks?

• Significantly high

• Increasing rapidly

• Moderately high

• Near zero

What is a significant challenge for central banks in the event of a future crisis?

• Abundant fiscal resources

• Limited fiscal policies

• Excessive monetary tools

• High interest rates

What is the potential impact of a future economic downturn according to the discussion?

• It will be easily managed

• It will have no impact

• It will be deeper and longer

• It will be mild and short-lived