Brexit Fears

In the aftermath of the referendum result, most financial experts slashed their growth expectations for the UK dramatically, with many forecasting an outright contraction in GDP for two quarters - a technical recession. The immediate signs were indeed pointing to troublesome economic times ahead. The British pound tumbled against the US dollar to its lowest level since 1985. Leading financial institutions announced that they would probably move some of their operations from London's City district to Germany and France. Worrying news considering the financial powerhouse generates 22 percent of the UK's GDP.

However, in the two months since the referendum, Britain's economy continues to bounce back from the initial shock with two positive job and housing surveys, both of which had pointed to a gloomy outlook one month post-referendum. Consequently, both Morgan Stanley and...