UBS' Baweja Says Brexit Isn't Going to Be Easy for U.K.

The transcript discusses the implications of Brexit on markets, focusing on the triggering of Article 50 and its expected timeline. It highlights economic data trends, such as declining retail sales and real wages, and predicts a weaker economic outlook for 2017 and 2018. The transcript also examines Theresa May's strategies to maintain confidence through trade relationships, while acknowledging the challenges posed by Brexit negotiations with the EU, emphasizing the EU's bargaining power and the complexity of future trade deals.

What is the significance of Article 50 in the context of Brexit?

• It is the legal mechanism for a country to leave the EU.

• It is a political party in the UK.

• It is a trade agreement between the UK and the EU.

• It is a financial regulation affecting the UK economy.

How did the economic data trends change after the Brexit vote?

• The economy showed no significant changes.

• PMI and retail sales increased significantly.

• Real wages and inflation remained stable.

• PMI and retail sales declined, and inflation rose.

What is the expected impact of inflation on the UK economy post-Brexit?

• It will boost consumer spending.

• It will decrease the cost of living.

• It will have no impact on the economy.

• It will lead to a decline in real wages.

What is the main challenge for the UK in post-Brexit trade negotiations?

• Establishing trade deals with the US.

• Overcoming the EU's bargaining power.

• Reducing tariffs with China.

• Increasing exports to India.

Why might the UK struggle to establish new trade relationships post-Brexit?

• The UK has no interest in new trade deals.

• The UK economy is too strong.

• The EU is the UK's largest trade partner.

• The UK has no existing trade deals.