Stocks across the world are falling, extending the steep sell-off that was triggered after Britain voted to leave the European Union on Thursday.
As the trading week begins, investors are still grappling with the uncertainty over what the UK’s historic vote means for its economy and the rest of the world. In Britain, growing crises in both the Conservative and Labour parties are adding to the uncertainty being felt across the markets.
However, stocks across Europe are only marginally lower on Monday morning, as the initial panic which gripped the markets on Friday seems to have subsided a little. Some fears have been soothed by a statement by Britain’s Chancellor of the Exchequer, George Osborne earlier on Monday, in which Britain’s most senior economic policy maker reassured the markets that the British economy remains on a solid footing.
As a result, the FTSE 100 is lower by around 0.4% at 8:25 a.m. BST (3:10 a.m. ET) although it should be noted that Britain’s blue-chip index is disproportionately filled with companies that denominate their assets in dollars, and as a result not hugely affected by the massive drop in the pound that has hit since Brexit.