Here we are on Sat 9th of July. Over 2 weeks this Brexit. What is going to happen next. Well, at www.asadkarim.co.uk we have done some research into the financial markets and we predict this:-

1. Interest rates on Thursday 14th July will fall. Thus the base rate that has been 0.5% since March 2009, will fall to 0.25%

2. The re-start of Quantative Easing. (Asset Purchasing Programme). So the level of £375bn will grow again.

What is the reason for this logic?

With the devaluation of Sterling, commodities such as energy will increase in price, so to offset this pain to householders, the Bank of England by cutting interest rates, will give some relief on the mortgage outgoings to offset the increase in price of energy.

Quantative easing will start as there is real concern that banks are over exposed to commercial real estate loans that threatens financial stability. We have seen some large property funds stop withdrawals based on lack of  liquidity. These office buildings are financed on long term loans that are held by banks, and perhaps a new programme of quantative easing my enable these loans to be moved to the Bank of England as a part of its asset purchase programme.

Lets see what happens on Thursday 14th July 2016.