The FTSE 100 has fallen by £59 billion over three days as the pound slipped to an eight-week low and fears of a likely Brexit increased. The UK’s leading index fell to 6,071.92, down by 0.72 percent, during Monday’s early trade, following disappointing Chinese economic data, and the news that polls are showing increased support for the Leave campaign in the forthcoming Brexit vote.
Mike van Dulken, an analyst for Accendo Markets, said that traders appeared to be preparing themselves for the ‘hat trick’ of updates this week – which will see the Bank of England, Fed, and Bank of Japan all releasing key data.
The implied one-month volatility for the Euro/Sterling has increased to 26.3 percent, its highest level on record – higher, even than the Financial Crisis of 2008, which saw it hit 25 percent.
In other news, Andy Clarke, boss at Asda, has announced plans to step down from the position after 20 years with the company, following news of a heavy fall in sales. Walmart, the parent company of Asda, said that Clarke had decided that the timing was right for him to step aside, following a six year tenure in the Chief Executive position. There has been a lot of speculation about his future with the company, which posted its worst sales performance in its history earlier in the year, while its four main rivals all managed to stage a recovery. Clarke had called a previous fall in quarterly sales a nadir, but the following quarter showed an even poorer performance.
