SPX S&P 500 Tanks on UK Poll Indicating Brexit is Favored

On Friday afternoon, 6/10/16, at 1:25 PM EST (6:25 PM London; 7:25 PM Frankfurt), with stocks already trolling near the day's lows, an ORB International poll in the UK indicates 55% in favor of the Brexit (Britain exiting the European Union) while only 45% in favor of the Bremain (Britain remaining in the EU). The majority of Brit’s want to exit the European Union despite all the jawboning and fear-mongering by political leaders. US stocks collapse when the news hit the wires (red circle). European trading is closed for the week and unable to react to the poll until Monday.

If the Brexit vote wins, other nations will want to leave the EU, and Europe will become more disjointed rather than united. However, no one can blame Britain for wanting to reclaim its sovereignty. Once you join committees and organizations, you are choosing to sail with that ship of fools. Nonetheless, a Brexit will likely create harm to European and international economies and markets. The bookies are always more accurate and they continue to give a slight edge to the Bremain voters.

At 1:31 PM, stocks continue the retreating. The S&P 500 is down 17 points, -0.8%, to 2098. The Dow is down 104 points at 17881 the 18K level now a memory. The Nasdaq is down 52 points and the Russell 2000 down 14 points. VIX 16.31. The bund printed at a record low 0.019% a whisker from negative rates as global investors lose confidence in the central banks and seek safe havens. If confidence in central bankers is lost, all will be lost.

Telecom, consumer staples and utility stocks lead higher each perceived as a safe defensive play that receives a dividend. Investors hiding out in these tickers will likely have their heads handed to them if the stock market turns south. Normal expected business and economic cycles no longer apply due to the nearly-eight years of obscene Keynesian money printing by central bankers. New bubbles exist across nearly all asset classes due to the market distortions created by the central bankers. Consumer discretionary, financials and energy stocks lead lower. BAC -2.8%. C -2.9%. ZION -2.8%. RF -2.5%.

At 2 PM, stocks are sliding down the rabbit hole. The SPX is down 23 points, -1.1%, to 2092 under the 2.1K level. The Dow is down 162 points, -0.9%, to 17822. The Nasdaq loses 67 points, -1.4%, to 4891 under the 4.9K level. RUT -1.5%. TRAN -1.7%. VIX 16.86.

Euro 1.1254. Dollar/yen 106.76. Pound 1.4242. USD 94.58. WTIC 49.22. Brent 50.69. Gold 1277. Silver 17.35. Copper 2.0275.

At 2:20 PM EST with about 90 minutes of trading remaining in the day and week, the SPX is at 2090 falling 10 handles since the Brexit poll data hit the wires less than one hour ago. VIX 17.12. Stocks stumble around at the lows and then recover into the closing bell. How will the FTSE and other European stock indexes react Monday morning? This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.