UK’s biggest stock market, UK and global indices tumble after Brexit trade deal
By Michael Farrar The UK’s largest stock market fell sharply after Britain voted to leave the European Union on Thursday, plunging more than 3%, with the index closing at its lowest level in almost a year.
The S&P 500 was down 2.7%, its biggest one-day fall in more than three weeks.
The index’s move came amid uncertainty over the final Brexit deal, which Britain is expected to sign on Friday.
The Dow Jones Industrial Average fell 2.6%, while the Nasdaq Composite fell 2% as the Dow fell below the 200 level for the first time in six months.
The slide comes amid worries that the trade deal will lead to the loss of British jobs and the loss in British living standards.
A number of companies are planning to scale back their operations in the UK in the coming weeks, with many worried that the Brexit vote will impact their bottom line.
The Bank of England governor, Mark Carney, said that while Brexit could impact financial services, the country was still “one of the fastest-growing markets in the world,” the Wall Street Journal reported.
The International Monetary Fund warned that Brexit could “hurt growth in the global economy” by “hindering the ability to raise financing for public spending.”
The British government is set to publish a report next week that will highlight its plan to leave.