Global Stocks Falter After Brexit Vote
Following the historic Brexit vote yesterday, global markets began to experience volatility.
Market uncertainty began almost immediately after the official voting results were released. BBC News reported last night that the British Pound “fell below $1.35 for the first time since 1985.”
The Financial Times Stock Exchange 100 Index, which is based in London, also “fell by 7 percent” immediately after opening as a result of the Brexit vote, according to BBC News. The FTSE 100 Index measures the top 100 companies across England.
“Banks were hard hit, with Barclays and RBS falling about 30 percent, although they later pared losses to below 20 percent” according to the BBC News article.
The instability also reached the United States markets.
“The Dow Jones industrial average dropped 500 points, or 2.8 percent, to 17,515 in the first few minutes of trading Friday,” according to the Associated Press. "The Standard and Poor's 500 Index fell...2.7 percent."
Investors are expected to keep a close eye on markets until they close tonight.