Global stock markets have plummeted on the news that the UK has voted to leave the EU.
The final vote on the UK’s membership to the EU stands at 51.9 per cent to the Leave vote.
Markets across the world are facing brutal selloffs, with money moving to relative risk havens, such as gold and the yen.
Sterling has taken a hit, at one point falling to $1.3232, marking its lowest point in 30 years. It has rebounded marginally and stands at $1.3659, an 8.2 per cent decline on the day.
Futures on the FTSE 100, which indicate early signs of trading on the market, indicate a drop of 8.3 per cent.
Meanwhile US equity futures show that the S&P 500 may drop by 5.1 per cent, while the Hong Kong Hang Seng is falling 4.6 per cent and Japan’s Nikkei 225 plunged 7.9 per cent.
Meanwhile, the price of gold has jumped by more than 6 per cent, rising to its most expensive point in two years. The yen has also seen safe haven status, and has risen 4.5 per cent, marking a near three year high.
Toby Nangle, head of multi-asset allocation for EMEA at Columbia Threadneedle Investments, says markets were “clearly unprepared” for the outcome.
“As such we are now entering a period of profound economic, financial and political uncertainty,” he says. “We lack a clear vision of what future relationship the United Kingdom will have with its largest trading partner, the timescale of the exit, and the configuration of the domestic party political landscape after a brutal campaign.”