Both domestic and international equity markets started last week weaker as the polls continued to indicate a greater risk that the UK will leave the European Union (“Brexit” referendum to be held this week on the 23th June 2016) but ended on a more positive note as all sides of UK politics temporarily ceased debate over Brexit out of respect for MP Jo Cox. The UK polls will close around 7am on Friday (Sydney time) but as exit polls are not being conducted it could be Saturday morning before we know the result. While a “yes” vote has no major effect on the Australian economy the real concern globally is that it could renew worries about the durability of the Euro. Any change may encourage moves by Eurozone countries to exit the EU and Eurozone which in turn could reignite concerns about the credit worthiness of debt issued by peripheral countries. With the continuation of investors’ flight to quality the Australian Government 10Y Bond Yields reached another new record low dropping below 2.00% on Thursday before closing at 2.08% on Friday. This risk off mentality was exacerbated by the US central bank cutting its long-term interest rate forecasts on Thursday. Federal Reserve policymakers signaled a slower pace of rate rises in 2017 and 2018 and lowered their long-term projection for interest rates to 3%. Both financial and corporate sector credit spreads initially rallied tighter to new 2016 lows but ended the week relatively unchanged from the previous week. Similarly trading margins on ASX listed hybrid trading margins were also broadly unchanged over the week. On the 15th June 2016 Crown Resort Limited announced to the ASX planned initiatives to “enhance shareholder value”. These initiatives will significantly transform the company balance sheet and provide greater transparency on the underlying assets. Click here to read more. We expect primary markets will remain quiet this week as participants await the outcome of the Brexit vote.