Post EU Referendum Market Moves: FTSE 100 Futures Open 9% Down
The Market and Political View from Adam Jepsen, Founder, Financial Spreads.
- - FTSE 100 Futures Open 9% Down - -
FTSE 100 Futures have just opened 584 points lower at 5716.
That's a 9% drop.
This will be a market gap i.e. when the market jumps from one level to another and hurts investors (i.e. the what we were trying to warn clients about).
- - - Sterling & Euro Hit in Forex Markets - - -
- GBP/USD: the pound is down 15¢ vs the dollar at $1.349
- EUR/GBP: the euro is up 5c vs the pound (both currencies are suffering but sterling more so) £0.815
- EUR/USD: the euro is down 4¢ vs dollar @ $1.100
These are already huge moves and while trading was very quiet last night, it's frantic now and set to get busier between 7am - 9am.
- - - Contagion - - -
The markets in the Far East are spooked and in USD/JPY, the Japanese yen has dropped ¥4 vs the dollar.
- - - US Markets Forced to Close - - -
The US S&P 500 Futures
and NASDAQ 100 Futures markets
have already had to close (for 20 minutes) because they were 'Limit Down'.
I.e. if there is a big drop then they close to give the market some respite.
In this case they were both down 5% and that's when they had to close. Both are now open again.
The Dow Jones is also down but has a Limit Down of 10%.
- S&P 500: down 109pts
- NASDAQ 100: 231pts
- Dow Jones: down 733pts
The information and comments provided herein under no circumstances are to be considered an offer or solicitation to invest and nothing herein should be construed as investment advice. The information provided is believed to be accurate at the date the information is produced.
By Adam Jepsen, 24 June 2016