George Osborne and Labour Government

government bonds: There are a host of potential scenarios, from a Conservative-led government that paves the way to a referendum on EU membership to a Labour government that freezes energy prices, according to The Guardian. In the meantime, the market backdrop is relatively buoyant. While George Osborne has warned of fall out Friday if Labour wins, the overriding feeling among traders appears to be that gridlock is good – in other words, if Britain wakes up to no strong majority for any party , there will be no big policy changes to fear. The FTSE 100 is close to its all-time high and yields on government bonds are stable – in March foreign buyers bought around £28bn of gilts, the highest on record. When the first exit polls are published at 10pm on 7 May, the UK stock market will be long closed and traders of US stocks will have gone home. The pound has been more affected by pre-election jitters but some of its weakness against the euro and dollar is just as much down to signs that economic growth has lost steam in recent months. (news.financializer.com). As reported in the news.