Brexit's global impacts

Synopsis

On Black Friday, Wall Street reacts to Britain's decision to leave the European Union. Mark Chandler, head of foreign exchange strategy at Brown Brothers Harriman, discusses the global implications of this vote. The volatility in the financial markets is evident, particularly with the Japanese yen, which briefly drops below 100 yen to the dollar. Chandler notes that the Bank of Japan may intervene to stabilize the currency, especially after the G7's recent statement against market volatility. In Europe, attention turns to the upcoming Spanish election, with eurozone bank shares declining and Spanish bond yields rising, signaling concerns about a potential return to the eurozone sovereign crisis. The interconnectedness of these events highlights the far-reaching consequences of Britain's exit from the EU.