Brexit Sand in the System for Banks: KBW's Cannon

The video discusses the implications of Brexit on the financial sector, focusing on the UK Chancellor's efforts to reassure US banks about London's status as a financial hub. It covers the potential relocation of US banks due to passporting issues, the political and operational challenges of euro clearing, and the legal and regulatory hurdles faced by the UK. The discussion also touches on the impact on bank profitability and the complexities of communication with UK and EU officials.

What is the significance of euro clearing in the context of Brexit?

What role does the City of London play in the global financial system post-Brexit?

How might Brexit affect the profitability of banks according to the discussion?