“But as far as Brexit is concerned, if the global financial system were healthy, I don’t think Brexit would be that big a deal. I mean, does it really matter whether the U.K. is part of the EU in the scheme of things? Think of all the countries that are not part of the EU; one country fewer really wouldn’t matter. The problem is, we don’t have a healthy global financial system. We’ve got a gigantic bubble, and it’s all propped up by cheap money and QE and it’s based on hype and hope and confidence, and what happened with Brexit is, this is a confidence-shaking event and it kind of exposes the underlying fragility of this system. It shows you how dangerous things are, how precarious the perch is that we’re on.

I think this is more like a match that lights a tinderbox. It’s not that Brexit itself is the problem; it is what it’s helping to expose, and I think this is the first of many dominoes that are likely to fall. It’s not so much Brexit but what the implications are for a lot of other things happening that people didn’t expect and don’t want.”

Source: financialpost.com