Earlier this morning, in Asia, investor sentiment looked mixed as the major equity indices produced no clear picture but both negative and positive results as sentiment remained overshadowed by Friday’s announced Brexit results.
The United Kingdom voted 51.9% to leave the EU, the current actual Prime Minister Cameron announced his resignation soon after the results. The founding members of the EU met up during the weekend to take a tough stance and urge UK to start exit procedures as soon as possible – rather than wait for a new Prime Minister to be elected.
Despite the obvious pain for the EU, voting patterns also revealed cracks in the United Kingdom, with Scotland and Northern Ireland strongly voting in favour of staying within the EU, and even the city of London was overwhemingly for a remain.
Expecting continued turbulence in the Forex Markets, the Japanese authorities are holding emergency meeting on their possible response to Brexit-induced volatility.
The British pound sold off heavily last Friday GBPUSD closed at 1.3659 after Friday’s open at 1.4839, and has continued to gap lower this morning at open – opening today’s session at 1.3422. The GBP is losing heavily against most of its major counterparts and has also induced weakness in the euro.
Unclear results at Spain’s elections, over the weekend, did not help the mood as more uncertainity prevailed for the euro.
