Smaller Post-Brexit London Doesn’t Add Up, Says Malmgren

The video discusses the economic implications of Brexit on the UK, focusing on trade, investor sentiments, and currency dynamics. It highlights the uncertainty surrounding Brexit, particularly a no-deal scenario, and its impact on foreign investment and the FX markets. The discussion also covers the competitiveness of the UK economy with a weaker sterling and the reliance on financial services. The video concludes with insights into capital flow and regulatory challenges post-Brexit.

What is the main concern for investors regarding Brexit, as discussed in the first section?

• The decline in manufacturing in the UK

• The uncertainty surrounding Brexit

• The rise of the Euro as a global currency

• The potential for increased taxes in the UK

How does the currency market react to the possibility of a no-deal Brexit?

• By stabilizing the value of the pound

• By reducing interest rates

• By pricing in a risk premium

• By increasing foreign investment

What is the irony mentioned in the second section regarding the UK's competitiveness?

• Higher taxes make the UK more competitive

• Increased manufacturing makes the UK less competitive

• A weaker sterling makes the UK more competitive

• A stronger sterling makes the UK less competitive

What is the primary industry concern if there is a disorderly Brexit?

• The impact on the financial services industry

• The increase in tourism

• The rise in agricultural exports

• The decline of the manufacturing sector

What is the argument against the idea that the City of London must shrink post-Brexit?

• The UK will increase taxes above EU levels

• The UK will focus on manufacturing

• Capital will continue to flow into the UK

• The EU will lower its regulatory standards