Many market participants fear the rising quantum of Government Debt spells crisis across the globe. Tush and Nonsense. Debt is not the problem – markets exist to price risk. The crisis lies in economic management, and Political Risk!
The UK is at risk of breaking its “Virtuous Sovereign Trinity” of stable politics, currency and bond markets. Collapsing confidence in politics to stem the slide in sterling and thus Gilts, could see the UK stumble into a crippling Sovereign Financial crisis sooner than we think possible.
Disclaimer
This publication is protected by US, UK and International Copyright laws. All rights reserved. No License is granted except for the subscriber’s personal use. Rights will be pursued.
The Morning Porridge is not investment advice. It is market commentary based on discussions and information gathered from multiple sources believed to be reliable. No guarantee is given for its accuracy or completeness. It is not an offer to buy, sell or solicit investments or securities. The author may have a position in companies or institutions discussed in this commentary.
If you want to know what’s really happening and why.. welcome to the Porridge.
Financial Market Insights for Thinkers!
© Morning Porridge | All Rights Reserved | Website Design & Support by Orange Pixel