Brexit triggers biggest market selloff in 10 months
On this day, U.S. stock markets cared a lot about foreign affairs. In this case, the decision by British voters to pull out of the European Union. It’s not easy to just get out. The process could take at least two years.
The repercussions, however, were immediate.
The Dow dropped 611.21 points to 17,399.86, the largest selloff in 10 months. The Nasdaq fell 4.12 percent, or 202.06 points, to 4,707.98.
Analysts’ advice to sit tight and weather the initial drama of the vote – and don’t analysts always say ‘sit tight’ – obviously went unheeded. One day after the Federal Reserve said that the nation’s largest banks had enough capital to withstand a severe economic downturn, bank’s led the selloff on Wall Street,Reuters reported.
The Business Record’s Iowa Stock Index – an unweighted average of 23 Iowa-based public companies – dropped 3.73 percent to 31.71.
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