UK: May will trigger Article 50 - BBH

Analysts at BBH points out that in the UK, May will trigger Article 50 of the Maastricht Treaty to begin the dissolution of its EU membership. 

Key Quotes

“In so doing, the UK will be subject to rules designed to discourage a country leaving. It will lose the initiative.  In any event, the actual trigger is a formality for investors.  The BOE's Financial Policy Committee meets and there is an expectation for an update of the counter-cyclical capital buffer (currently set at zero) that is set to expire in June.  Sterling's correlation with the 10-year interest rate differential between the US and UK is among the strongest since the late 1990s.”