THE most important economic event this week is without doubt the Scottish independence referendum on Thursday.
The result of this could have significant repercussions for the UK economy in the short run, as well as obviously major repercussions through the long term, according to Howard Archer, analyst with IHS.
The extremely tight opinion polls indicate the independence vote will go right down to the wire, resulting in substantial uncertainty in the markets.
There is likely to be a major reaction, particularly for sterling, whichever way the vote goes.
A vote for independence is likely to result in a further appreciable sterling sell-off; a vote for Scotland to remain in the United Kingdom is likely to lead to a significant relief rally for the pound.
Looking past the small matter of the Scottish independence referendum, there are a number of major economic releases coming that are likely to indicate overall that the UK economy is still performing well, with muted inflationary pressures.
These include consumer and product indicators, unemployment and earnings figures follow and tomorrow (Thursday) will see the latest retail sales figures published.
