UK Votes to Leave, Pound Hits 30 Year Low
Ladies and gentlemen, the UK has left the building!
51.9% of UK voters have chosen the ‘leave’ vote over 48.1% to ‘remain’ in the European Union. The Brexit reality has rocked the markets and sent the Sterling tumbling.
Here’s a quick look at some of the price action from earlier this morning when the final vote count was announced and follow-up moves as of writing.
- GBPUSD dropped almost 12% from 1.50047 to 1.3225, finally retracing to 1.38666
- The euro suffered with the EURUSD dropping from 1.14231 to 1.09110, but gained soon after to 1.11887
- Gold predictably rose from dramatically from 1250.29 to 1358.16 but dropt back to 1308.38
- OIL leaped from 46.70 to 50.42 and pulled back to 48.38
- EURGBP rose from 0.76104 to 0.81807, retracing to 0.80224
- GBPAUD dropped from 1.80153 to 1.96717, but recovered some of its losses by going to 1.86954
- The FTS index dived 8.7% but has since retraced some of its losses.
The Brexit has seen US stocks hit a 4-month high in volatility with the Volatility S&P 500 index jumping 21.63%. The volatility index gauges investor nervousness – and there is certainly a lot of that around.
UK Prime Minister, Cameron has just announced he will step down at his party’s conference in October, sending even more jitters into an already highly-strung market.
As today unfolds we may be in for more volatility across all global financial markets so stay tuned.