• Sovereign wealth funds and central banks may look to cut their UK assets in 2017 after sentiment toward the country slumped since Britain voted to leave the European Union, according to an Invesco report. About 41 per cent of institutions, who together oversee about $12 trillion in assets, said they expect to introduce new underweight positions in the UK this year, a survey published on Monday showed. Britain was also deemed to be the least attractive developed market, scoring 5.5 out of 10 in 2017, the report said, down from 7.5 in 2016. (Independent)
  • More than 1,300 academics from the European Union have left British universities in the past year, prompting concerns of a Brexit brain drain. There has been a 30% rise in departures of EU staff in just two years, according to data released by dozens of universities under the Freedom of Information Act. Among those universities most affected were Cambridge, which lost 184 staff in the past year, up 35% on 2014-15, and Edinburgh, which lost 96 EU staff, up from 62 in 2014-15. However, the figures do not take into account new staff arriving from the EU. (Guardian)
  • The UK’s dominant services sector weakened in May according to the latest survey snapshot from Markit/CIPS. The Purchasing Managers’ Index came in at 53.8, down from 55.8 in April and lower than the 55 City of London economists had anticipated. According to the Office for National Statistics, UK GDP growth slowed sharply to 0.2 per cent in the first quarter of 2017, down from 0.7 per cent in the final quarter of 2016, amid mulitiplying signs that a spike in inflation, since the slump in the pound in the wake of last June’s Brexit vote, is crimping household spending. This was the joint slowest rate of GDP growth in the G7. (Independent)