25 Jun Britain Will Leave the European Union: Now What?
Posted at 07:12h
in perspectives
Surprise, then Tumult
Up until mid-June few thought the so-called “Brexit” referendum, on whether Britain should exit or remain in the European Union, would have consequences beyond fluctuations in the pound. That changed, however, as momentum shifted toward the “leave” vote. Recent weeks have seen a broad flight to safety, with slumping stock prices, increasing currency volatility, rising gold prices and new-low bond yields. The Federal Reserve cited Brexit uncertainty as one of the factors infuencing its decision not to hike interest rates in June. Brexit came true last night as the U.K. voted to leave the EU.