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As Brexit Looms, Goldman Shares Feel The Squeeze

If Britain chooses to exit the European Union in June the shares of big banks will be affected, but not for long, analysts say.

Several large banks, including Goldman Sachs (GS - Get Report) , Citigroup (C - Get Report) , JPMorgan (JPM - Get Report) , and Wells Fargo (WFC - Get Report) use London as a hub for their EU operations.

That may change, though, if Britain votes to exit the EU early this summer.

"Essentially what we're talking about is a real estate situation," said Dick Bove, analyst at Rafferty Capital Markets.

According to analysts, big banks will take a substantial hit when it comes to relocation and staffing. The hit, though, as Bove said, will be a one-time thing.

"It's not as if they're going to lose customers," said Marty Mosby, director of bank and equity strategy at broker-dealer Vining & Sparks. "It's more of a burden they'll have to go through. Depending on how it's evolving, I think it's something that...


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