Global markets were on edge after British Prime Minister Theresa May’s Brexit deal was brutally shot down on Tuesday, in a vote of 432-202, the worst defeat in modern British history. The Brexit vote is likely to cause a disorganized exit from the European Union, and may even call into question the possibility of no exit at all, though Britain’s leaders have thus far remained steadfast in their commitment to the exit. The expected Brexit is currently set for March 29. A no-confidence vote will be held later today to determine May’s fate as the country’s leader. If May loses the no-confidence vote, the country will have 14 days to cobble together a new government.
Asian stock markets were trading mixed on Wednesday afternoon. Japan’s Nikkei 225 index was down 0.55 percent as of 2:456 p.m. HK/SIN. China’s Shenzhen Composite was down 0.16 percent. The Shanghai Composite was up 0.10 percent, while Hong Kong’s Hang Seng Index was up 0.15 percent.
Currency Markets Remain Steady
Despite the turmoil in England and the predictions for volatility in a crushing defeat, the currency markets were largely stable on Wednesday afternoon in Asia. The dollar index was down a modest 0.05 percent to 95.99 .DXY. The British pound was down 0.09 percent against the dollar to $1.2846. The euro was also down against the dollar, sliding 0.15 percent to $1.1397. The dollar eased against the yen, trading down 0.16 percent to 108.49.