U.S. Stocks Fall With Global Shares, Pound on Brexit; Gold Gains
- Banks among biggest losers as equities slide in Europe, EM
- Gold climbs for second day with yen as haven demand persists
European Bank Shares Plunge in Brexit Battering
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The aftershocks of the U.K.’s vote to leave the European Union reverberated across financial markets after a weekend of political turmoil, with the pound extending its record selloff and European equities dropping to levels last seen in February.
The S&P 500 dropped 1.8 percent to the lowest since mid-March, while the slide in Europe’s equity benchmark reached 11 percent over two days, the most since 2008. Sterling fell below Friday’s lows with a 3.4 percent slide to the weakest since 1985, as S&P cut its rating on the U.K.’s sovereign debt. Demand for haven assets boosted gold, and Treasury 10-year yields reached a four-year low.