The financial fallout from Brexit intensified yesterday, battering global shares and sterling, with investor sentiment soured by the prospect of weaker global growth and an extended period of political uncertainty.
UK markets were the focus of selling pressure that targeted banks, airlines and homebuilders, but the pain rippled across Europe and Wall Street with investors seeking the haven of government debt and the US dollar.
In a new blow, Standard & Poor’s removed Britain’s last triple A sovereign rating from a major agency last night, downgrading the UK two notches to AA, citing the economic, fiscal and constitutional risks of last week’s Brexit vote.
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