Have no fear, this will be the first of many shocks for the EU. I'm updating my prediction for terrorism in Europe this summer. I believe we will see multiple attacks carried out by a couple of cells. Add the UK leaving the EU and the probability that at least a couple of other countries will do the same and chaos in the financial markets is a given.he pound dropped to a three-week low afterpolls showed more Britons favored quitting the European Union,reviving concern the June 23 referendum will throw globalmarkets into turmoil and undermine confidence in the 28-nationtrading bloc.Sterling fell against all of its developed-market peersafter three surveys Monday showed a lead for the ‘Leave’campaign. A gauge of anticipated swings against the dollar inthe next month surged to a 7 1/2-year high.The Bank of England has said uncertainty surrounding thevote is hurting U.K. growth, while institutions including theInternational Monetary Fund and Organisation for EconomicCooperation and Development have warned of dire consequences ifthe nation votes to leave the world’s largest single market.Federal Reserve Bank of Chicago President Charles Evans said thereferendum is undermining confidence in the global outlook at atime when the international economy is already losing momentum.“Today’s move was a function of reality sinking in foroverseas investors -- the referendum will be a close outcome,”said Viraj Patel, a foreign-exchange strategist at ING Groep NVin London. “We’re probably seeing some of those long post-Brexitpound bets unwind.”
This will be a VERY interesting year.