RE: 450 ask!!!!!!2 Dec 2016 08:58
Tracking sideways..william r % is at about 70 and looking at the charts the only way is up but I guess it still depends in sundays vote.. Late monday could be more of the same or a rise back up
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Below taken from the independepent online- "Italy referendum explained: What is it about and what would a No vote mean for the UK"
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What is at stake? Why should the rest of us care? And what is the worst that could happen?
Below we answer the big questions.
What is this referendum about?
Matteo Renzi, who came to power two years ago aged just 39, wants to streamline Italy’s political system so he can push through a major economic reform package. He wants to reduce the number of senators and limit the senate’s power relative to the lower house of parliament.
He also wants to reduce the political power of Italy’s regions.
Few dispute that economic reforms are necessary: the Italian economy has essentially gone nowhere for 16 years and unemployment is high at 11.5 per cent. With the exception of Greece, Italy has had the worst performance of any eurozone country since the 2008 financial crisis.
But any political reforms in Italy that have the effect of concentrating political power have, by law, to be put to a popular referendum.
How is the referendum likely to go?
Before the official blackout on polls on 18 Novermber, there was a projected 53.5 per cent to 46.5 per cent lead for the “No” camp”.
There is some hope that the 20 per cent people who haven’t made up their mind will ultimately swing behind “Yes”.
Because there would be colossal global economic and financial upheaval if the eurozone broke apart.
Investors who had lent in euros to a country would suddenly find themselves paid back in a new currency – a new Italian lira, or Spanish peseta, or French franc for example – and that currency may well be worth considerably less.
Domestic savers would face a similar devaluation risk to their wealth.
This threat creates a massive incentive for people, investors and companies to pull their money out of the more vulnerable eurozone countries and put it into stronger ones, like Germany.
This is what we saw in Greece in 2015, when capital controls had to be imposed to stop money haemorrhageing out of the country and destroying the economy.
The same kind of mass financial run could happen – but on a far larger scale, and across the eurozone – if the Italian domino looks about to fall.
So what should we expect from the markets if the referendum is lost?
The biggest short-term pressure point is the Italian banks, which are understood to be carrying around €350bn of bad loans and many of which are seen as undercapitalised.
Analysts warn of a renewed and heavy sell-off of their stock if the referendum is lost.
The other major indicator to watch out for is Italian government bond prices.
Ther
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