Financial Markets Stabilizing Two Days After Brexit-Related Tumble
Financial markets showed signs of improvement Tuesday following days of Brexit-related volatility.
Sharp declines in the British pound and global equities had economists and real estate pros wary about the long-term effects of the UK’s vote to leave the EU. But it appears markets are stabilizing, the Wall Street Journal reports.
The Dow gained 123 points, or 0.7%, and the S&P 500 rose 0.9% Tuesday. These gains follow two days of losses that totaled $3 trillion from global stock markets.
Europe's markets saw gains as well—the pound rose 0.7% against the dollar to $1.3333 and the Stoxx Europe 600 rose 2.8%, after tumbling nearly 11% the past two trading sessions.
“Everyone’s dipping their toe back into the water. After you see two drastic days as you did, people start saying it’s time to buy,” head trader at NorthCoast Asset Management Frank Ingarra says. [WSJ]