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Global markets plunge after UK votes to leave EU – live updates
More than £100bn wiped off FTSE 100 after UK votes for Brexit - live updates
(35 minutes later)
8.46am BST
08:46
European stock markets are deeply in the red:
8.44am BST
08:44
Massive amounts of shares are changing hands in the City.
Almost 463.9m trades flowed through the London stock market in the first 30 minutes, the sort of volume you might see by after lunchtime on a normalish day.
8.34am BST
08:34
Predictions of massive losses across Europe are proving accurate.
The French CAC is the worst casualty, tumbling by 8.5% in early trading in Paris.
And Germany’s DAX is close behind, down 8%.
8.29am BST
08:29
David Cameron to resign
Prime minister David Cameron has announced that he will resign as prime minister, following the referendum.
He expects a new leader to be in place before the Conservative Party conference, this autumn.
Speaking outside Downing Street, Cameron says:
He says he is very proud of what he has done as prime minister.
He says he has always thought you have to confront big decisions, not duck them.
He formed a coalition, delivered a referendum in Scotland and gave the public a referendum on Europe.
He fought the referendum with head and heart.
The referendum was not about him, he says.
But the British people have decided to follow another path. So they need a new prime minister.
Our main EU referendum liveblog has full details and reaction:
Related: Brexit: David Cameron announces resignation following EU referendum result – live
Updated
at 8.30am BST
8.26am BST
08:26
Jill Treanor
“Take another blood pressure pill,” says one Cantor Fitzgerald trader, as the volume of shares traded in London rises fast.
Stocks are again going into auctions because of the rapid movements in the share prices. No one appears to have time to stop to listen to Cameron, whose voice can be heard across the dealing room.
8.23am BST
08:23
Simon Goodley
“Barclays down 28%!” yells one IG trader. It’s buzzing here.
IG increased the margin clients had to deposit in their accounts in the weeks running up to the vote. Clients will therefore be able to fund losses of around 10% before being asked for more funds. That means if you’re long of the FTSE you are (just) OK. If you’re long of the banks, credit card details please.
8.23am BST
08:23
Shares in Barclays and Royal Bank of Scotland have both fallen by 25%.
8.21am BST
08:21
At Cantor Fitzgerald, there are shouts that David Cameron is rumoured to be about to resign and lots of calling out of share prices as they start to open.
8.19am BST
08:19
Simon Goodley
Trading floors are usually a lot quieter than most people think (more than 95% of trades here are online) but it’s different today.
IG traders shouting across the floor, like it’s 1986 or something. “Quite a hubbub for us,”says one. Very old school.
As the market opens, traders are expecting huge volumes in most shares, but some sectors look more vulnerable than others.
One trader says:
“Anything to do with buy to let property is a short”.
8.18am BST
08:18
This is the biggest plunge for the blue-chip Footsie index since the 2008 financial crisis.
But shares are coming back a little bit -- the FTSE 100 is now “only” down 400 points, or 6.4%.
8.16am BST
08:16
These are the top fallers on the FTSE 100 right now, as wild selling sweeps the City trading floors
8.12am BST
8.12am BST
08:12
08:12
£120bn wiped off the FTSE 100
£120bn wiped off the FTSE 100
More than £120bn has been wiped off the FTSE 100 at the start of trading.
More than £120bn has been wiped off the FTSE 100 at the start of trading.
8.07am BST
08:07
Housebuilders plunge by 40%
It’s an absolute rout!
The FTSE 100 has shed 527 points, or over 8%, in a massive selloff....
Some shares have lost a third of their value. Housebuilders Taylor Wimpey and Persimmon have plunged by 40%
And some shares have still not opened....
8.04am BST
08:04
Shares dive in London
There are some big moves already.
Supermarket chain Morrisons is down 9%, Royal Mail (floated a few years ago) are down almost 7%. Mining group BHP Billiton has lost 6%.
But half the FTSE 100 hasn’t actually opened, as market makers struggle to match buy and sell orders.
8.01am BST
08:01
Europe’s stock markets are open, and shares are tumbling. But it’s going to take several minutes before we know the full damage....
7.59am BST
07:59
Simon Goodley
The general view on the IG trading floor is that the Bank of England’s statement says nothing (The Bank may take that as a compliment).
Traders are looking forward to hearing what other central banks say - plus a view from the boss. As one puts it: “What do [Mario] Draghi and [Angela] Merkel say?”
7.45am BST
07:45
The chief executive of Barclays, Jes Staley, has issued a statement on the referendum result:
This is a significant decision and there will be many questions asked in the coming days and weeks about what happens next. The answers are complex but our position is not: we will not break our stride in delivering the Barclays of the future.
We have stood in service of our customers and clients for over 325 years. We have been here for them through equally profound changes before. And no matter what has been laid before us, we have been here to help them achieve their ambitions.
That does not change today. And through the uncertainty of the months ahead, be in no doubt that we are ready to do whatever it takes to uphold that promise.
The strategy we announced on 1 March, 2016 was not conditional on the UK remaining in the EU. We are a transatlantic consumer, corporate and investment bank, anchored in the UK and the US. That remains the core of our strength and the Barclays of the future.
Updated
at 7.45am BST
7.37am BST
07:37
Jill Treanor
Back at Cantor Fitzgerald in the City, traders are bracing for the selloff in half an hour:
All eyes are on the German Dax, as well as the FTSE 100, with both being called down almost 10%.
“Sterling is steady at $1.36” says one trader.
“Who ever thought it would be $1.48 and $1.36 on the same day,” his colleague observes, amid scores of screens showing the state of play in the markets.
At Cantor Fitzgerald trader indicting where the FTSE is likely to open pic.twitter.com/X146wdfxuL
UK stock market set for a bad start but worse over the Channel: German DAX down around 10% so far.
Updated
at 7.39am BST
7.33am BST
07:33
John McDonnell: Government must stabilise the economy
John McDonnell MP, Labour’s shadow chancellor, has commented on the market mayhem:
People will be waking up this morning to turmoil in the markets and the pound crashing, and fearing the emergency budget the Chancellor threatened to hike their taxes and cut public services.
The Government must now take steps to stabilise the economy, and to protect jobs, pensions and wages. Labour will not allow any instability to be paid for by the working people of this country?
Updated
at 7.33am BST
7.23am BST
07:23
German stock market to plunge
European stock markets could suffer even deeper falls than London, when trading begins in 40 minutes.
Germany’s DAX is currently expected to plunge by around 1,000 points at the open, a fall of around 10%. Bank shares are likely to suffer dramatic losses.
Latest German pre-market calls:Deutsche Bank -21%Commerzbank -18.9%VW -13%DAX called down 11.21%Lang un Schwarz @CNBCi @CNBC
DAX -9%CAC -10.50%EuroStoxx -11%Fasten seat belts
7.20am BST
07:20
Simon Goodley
David Cameron is due to give a statement at 8am, just as the markets open (so that’ll be fun).
Chris Beachamp, chief market analyst at IG, says the PM’s next move is crucial.
“Sterling now will depend on the shape of the UK government at about 4pm and if Cameron is still there. If he says he’s going it will be sold off again. The best thing he can do is hold the line here. We also have Spanish elections this weekend. To lose one government would be unfortunate. To lose two would be careless.”
