The Effect of Brexit on the U.S. Economy

Although Brexit dampened business growth for companies operating in the E.U., it could be a chance for the U.S. market to profit from it. The Balance speculates that companies may invest more heavily in the U.S. market following the uncertainty of the UK market. Deolitte and PwC both have released reports on how Brexit may affect the U.S. market and companies.

Cameron Hurst on Brexit

In response to a question on Brexit, he doesn’t think the way Brexit plays out will have much of an effect on US equities or trade policy. It is likely to not have a big impact on many of the companies that trade in the UK either, because they are international, but it might be wise to hedge out the Sterling-related (currency-related risk). At this time, he likes to invest in Ireland and France.

It’s not expected that Brexit will have a huge impact on US markets, as most of UK companies are not domestic, so equities would continue working, but the advice is to be careful with the currency-related risk.