Euro region, such as the European Union, including the euro zone, is under downside pressures after Britain’s referendum outcome where the citizens decided that their nation should exit the EU.
What will happen next on the British currency, the sterling, and the region as whole?
Will things get worse or is it going to be a way in resolving such a scenario which nobody was expecting?
Euro region under pressure amid the referendum’s outcome
The sterling, and particularly the GBP/USD dropped aggressively from as high as 1.5007 to as low as 1.3233, having recorded a super declination of 10%.
Amid David Cameron’s speech, the British Prime Minister expressed his understanding on the citizens voting and emphasized the importance of managing the instability and the uncertainty that are currently in place.
In the meantime, Cameron resigned publicly after his defeat in this referendum. Was it a wise decision?
Time will surely show at the end whether it was the right decision or not. The long-term future of the British nation and the European Union could be a tough one.
Nevertheless, what it is now needed, at the current state of affairs, are unity and most of all teamwork to manage the probable difficult times and unknown economic turbulences that may arise.
The Brexit voters won the referendum with a 52% lead versus a 48% rate of those who wanted Britain to remain in the European Union.
The Londoners and the Scottish wanted the nation in the EU, whereas the Wells and the citizens outside London voted for Brexit.
Both, the short-term and the long-term future will show what may happen next and who was right or wrong.