Why did the US stock market collapse when the UK decides to leave the EU?
For those who are financial savvy, can you explain why our stock market dropped 600 points when the UK voted to leave the EU?
I was under the impression that the EU was formed to strength the European nations in trade with the rest of the world. If a weaker EU results, would that be a good thing for America and the Far East?
United States' goods trade in foreign markets. When the Euro and the English Pound plummet that makes the US Dollar worth more comparatively. While this is good if you are a US tourist because your dollar goes further it is bad if you are a manufacturer selling goods abroad. This is because US goods will cost more to EU and British consumers which could inevitably mean the US sells less goods.
Plus the United States has a lot of ties to financial institutions and businesses in England so economic issues over there still ripple here and visa versa and not necessarily things that can be felt in isolation.
It would be more important to know why they didn't shut down the stock market when the news came out. It was supposed to be one of the safeguards to provide a cooling off period.
Trading curb will only kick in at 7%, 13% and 20% loss.
That should be something to change, because right now it is doom and gloom no matter the percentage. Yesterday was 5.4%. 5% sounds like a good number for a one day loss. the stock market learned nothing from 2008. What is your guess for Mon %s?
I think all this turmoil is orchestrated. The net effect on our stock market should be zero. This down turn is a good buying opportunity. The market will return to normal in a week or so.
I truly agree with that. The media is making a circus of it. The stock market is filled with ducks, and a few hawks to chase them. The stock market needed a correction anyway, now they have one.
by ngureco 7 years ago
Why Does The Stock Market Go Down When The Dollar Goes Up?
by rhamson 2 years ago
With a huge turnout and in the wake of a controversial killing of a MP the UK people voted to leave the EU. Many cited the control of its' borders as the main reason. A handful of other members are also considering a similar direction. Can the US learn anything from this or are we just terminally...
by rams chowdary 5 years ago
why the company s registered in the stock market or share market ?
by ngureco 3 years ago
Which Are The Best Trading Strategies In The Stock Market?
by Eric Dierker 13 months ago
Is being in the Climate Accord good? Is our stock market going up good? Trade offs good?Not a news report and not an expert saying this; News of pulling out of the accord and the stock market shot up to all time highs. The stock market is the primary investment for retired seniors to make their...
by breathe2travel 6 years ago
Why is the media coverage of economy consistently negative?After 9/11, the stock market plummeted. However, a less known reality is that 59 days later, on 11/9, the stock market had returned to its pre-9/11 status. Why was that not heralded? Why is the media consistently negative...
Copyright © 2018 HubPages Inc. and respective owners. Other product and company names shown may be trademarks of their respective owners. HubPages® is a registered Service Mark of HubPages, Inc. HubPages and Hubbers (authors) may earn revenue on this page based on affiliate relationships and advertisements with partners including Amazon, Google, and others.
|HubPages Device ID||This is used to identify particular browsers or devices when the access the service, and is used for security reasons.|
|Login||This is necessary to sign in to the HubPages Service.|
|HubPages Traffic Pixel||This is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.|
|Remarketing Pixels||We may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.|
|Conversion Tracking Pixels||We may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.|