Markets Take Brexit In Their Stride

LONDON, , (UrduPoint / Pakistan Point News - 29th Mar, 2017 ) - European stock markets were mostly steady Wednesday as the British government formally set in motion the process to quit the EU over the next two years, with investors already having largely priced in "Brexit" in the nine months since last year's referendum, dealers said.

Meanwhile, on the other side of the Atlantic, Wall Street was fractionally weaker, as investors appeared to be almost oblivious to the so-called "triggering" of the "Article 50" divorce proceedings between London and Brussels that have split Britain and thrown the future of the 28-nation bloc into question.

"We had been waiting nine months, and when it came it was not with a bang but with a whimper," said Manulife Asset Management analyst Will Hamlyn.

"Essentially, Article 50 is meaningless by itself.

The real event to watch is April 4 and April 29, when we get the EU's declaration on Brexit and an EU summit on Brexit," said City Index analyst Kathleen Brooks. "The polite opening to negotiations has helped supress volatility and limit market reaction." European markets barely flinched when the British ambassador to the EU formally handed over the historic letter announcing Britain's intention to leave the bloc.

Nine months after the shock British vote to quit the EU, Prime Minister Theresa May formally activated Article 50 of the Lisbon Treaty, meaning Britain is set to leave the bloc in 2019.