It's Brexit: Hang Seng Index plummets as Britain votes to leave EU in stunning referendum result

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Britain has voted to leave the European Union, after the Leave camp defied the expectations of pollsters and in doing so sent markets worldwide into a tailspin.

The Hang Seng Index fell by about 1,000 points after the stunning result was declared by the BBC. With all 382 voting areas having declared their results, the nationwide Leave vote stood at 51.9 per cent, with 48.1 per cent voting to Remain.

The results triggered a huge plunge in the pound; currency traders had previously expected a Remain victory, and the sterling had ended Thursday trading in Hong Kong at year-high levels.

But as the results came in, the pound sank a staggering 10 per cent to US$1.33, its lowest level since 1985 and a fall even larger than during the global financial crisis. The currency was moving two or three cents in the blink of an eye.

Brexit supporters celebrate as the results come in at a party for the “Leave” camp at Millbank Tower in central London early on Friday. Photo: AFP

As the HSI dropped by about 5 per cent at lunch, gold prices soared by more than 7 per cent, topping US$1,345. Oil futures slumped 6 per cent to less than US$50 a barrel. FTSE futures were off by a whopping 7 per cent.

The referendum turnout was strong, at 72 per cent.

The first English count declared was in Newcastle, which voted to Remain by a narrow 1 per cent margin. But that gave the Remain camp major jitters, since a much bigger margin had been predicted there.

“Wow. That could be a very big worry” for Prime Minister David Cameron’s Remain side, Professor Simon Hix of the London School of Economics told reporters in London.

He said that under his projections, if the whole of Britain was split evenly, Newcastle should have voted Remain by a margin of 18 points.

(SOUTH CHINA MORNING POST)