It is still “too early” to invest in domestic British stocks such as banks, housebuilders, retailers and property companies, analysts at JP Morgan warned yesterday, as the City returned to work still licking its wounds after the heavy sell-off in domestic stocks last week — a retreat sparked by Dominic Raab’s resignation as Brexit secretary that led to fears of a no-deal Brexit.
Royal Bank of Scotland, Countryside Properties and Marks & Spencer, among the worst affected in their sectors last week, were steady yesterday as investors awaited further news on Brexit talks.
However, JP Morgan said that investors should hold off buying back into domestic stocks. Its analysts argued that even if Britain did agree a deal with the European Union, the likelihood of it passing in the House of Commons initially looked slim.
