Friday, June 24, 2016

Brexit: The divides deepen

No country has ever decided to leave the European Union -- until now. The UK's vote to separate from the EU reverberated around the world Friday, causing markets to crash and setting off emotional peals of thunder.
 
Here's a snapshot of what happened today:
 
Markets plunge, plummet, tumble, nosedive and more
Shock rolled through global markets Friday, and U.S. stocks dove right along with them. The Dow closed down 611 points, 3.4%, while the S&P 500 lost 3.6%. The Nasdaq dropped 4.12%, down 10% from its recent high.
 
Our own measure of the emotional roller coaster, CNNMoney's Fear & Greed Index, slipped into Fear mode on Friday. Could this get as bad as the 2008 financial crisis? Whoa, market experts say, Keep Calm and Carry On. Here are some buoyant stocks to buck those spirits up.
 
In the UK, scenes of joy and anguish
Celebrations erupted in London streets, while anger erupted elsewhere. You've stolen our future, say Britain's youngsters, 64% of whom voted to stay.
 
New divisions
The soul-searching runs deep across other divides. Scots, who voted in 2014 to stay in the UK themselves, are having second thoughts. Meanwhile, Ireland sees an opportunity to reunite their own island -- and some Brits are frantically looking to pick up Irish passports themselves.
 
But this is "not a moment for hysterical reactions," cautions EU President Donald Tusk. He's hoping to ward off further exits by nervous EU nations.
 
There's reason for the U.S. to be nervous, too
The possibility of a less stable Europe means economic risk at home, plus a few more concerns. The good news is your UK vacation just got a lot cheaper.
 
Obama tried to put a good face on it all, saying the U.S. will still be special friends with the UK. As you might expect, Trump suggested Obama was to blame for the Brexit, yet cheered the vote for independence as a herald of his own predicted success.
 
He said all this from his own golf course in Scotland, which, as we mentioned before, was pretty firmly in the stay camp.



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