Financial Markets and Labour

Stefano Pessina: Latterly, it has been the prospect of a hung parliament that has alarmed headline writers, according to The Guardian. Wake up, investors: this election will cause chaos in the financial markets . So what happens if Labour and the Tories are neck and neck while the SNP secures 50 or more seats We are unlikely to see whirlwind talks to beat the markets’ opening the day after the election. Shares tipped to fall if Labour wins next year general election the Daily Telegraph announced in October, and some business leaders have echoed the sentiment, notably Stefano Pessina, boss of US-owned Boots the chemist. Investors will be forced to judge how much being rudderless matters to the country. Despite the headlines, markets are much more likely to take account of global events, especially as the companies in the FTSE 100 derive an estimated two thirds of their income from abroad. After all, the Belgians went for more than 18 months without an official government in 2010 and 2011 with no worse consequences to contend with than a certain amount of mockery from foreigners. (news.financializer.com). As reported in the news.