Reuters reports that investors will be looking for signals from Federal Reserve chair Janet Yellen this week about the U.S. central bank‘s next rate move after shockingly weak payroll data all but killed off chances for a hike this month. However, the article cautions that the focus will also not stray far from developments in Britain as voters there prepare to vote in a referendum on June 23 on whether to stay in the European Union.
American politicians are not coming clean that US jobs will never recover to the way they were. With advancing technology and globalization Americans are struggling to compete. Education standards for the majority of the working age population trail international benchmarks. Also rising obesity will not help with motivation to work harder than international competitors. Both Clinton and Trump need to get real about jobs in America. Of course, many of Trump’s supporters are right wing populists and are done on their luck looking to Trump to lead them to the promised land – it was similar in Germany in the thirties.
As for Brexit, it’s a question of fear and expectation. It could be be like the 2008 financial crash all over again.