Moody's slashes UK and Eurozone growth following Brexit vote

Following the Brexit fallout, the US ratings agency, Moody’s Investors Service, lowered growth forecasts for the UK and Eurozone, citing crumbling confidence in the UK as the key reason.

Key Headlines:

UK GDP

2016 1.5% vs 1.8% prior

2017 1.2% vs 2.1% prior

Eurozone GDP

2016 1.5% vs 1.7% prior

2017 1.3% vs 1.6% prior

Reasons for the outlook downgrade:

Vote is likely to result in a shock to confidence that will curb UK economic growth

EZ cut reflects country specific developments combined with limited spillovers from Brexit