The downward effect of Brexit on the market continued on Monday, particularly with EU banks opening at lows not seen in years.
Barclays (LON:BARC) PLC (NYSE:BCS) opened down 23.3%, Lloyds Banking (LON:LLOY) Group (NYSE:LYG) down 16.8%, Royal Bank of Scotland (TO:RBS) down 13.8% and HSBC Holdings (NYSE:HSBC) down 6.1%. The overall volatility in the market today is a reflection of the continued concerns involving the U.K.’s exit from the EU.
In response to the uncertainty, Federal Reserve Board Chair Janet Yellen cancelled her planned Wednesday appearance at a central bank conference in Portugal, organized by the European Central Bank. The current outlook on U.K. banks is increasingly negative, with HSBC serving as today’s “Bear of the Day.”
Since Brexit, major financial institutions in London have begun discussion of relocating their workers to other locations in Europe, including Frankfurt and Dublin. As highlighted here, it is projected that London could lose 40,000 or more jobs in financial services alone in the near future.
BARCLAY PLC-ADR (BCS): Free Stock Analysis Report
ROYAL BK SC-ADR (RBS (LON:RBS)): Free Stock Analysis Report
LLOYDS BANK GRP (LYG): Free Stock Analysis Report
HSBC HOLDINGS (HSBC): Free Stock Analysis Report
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