JP Morgan says a Labour win in the UK election would be a net positive for UK markets:
Labour party is occupying a centrist platformperception of policy paralysis is set to move behind usLabour agenda is modestly pro-growthwith a likely cautious fiscal approach
Much of the note is picking apart impacts on various sectors of the economy, but more broadly JPM note that since 1970 a Conservative election win sees an average 1% gain in a month for the UK stockmarkrt, while a Labour win sees an average 2% fall. But, this time:
“a Labour win will likely be seen as a positive for the UK market”
The contenders, Sunak and Starmer. The election is on July 4.
This article was written by Eamonn Sheridan at www.forexlive.com.
