Financials Are Crashing

The people of Britain have spoken and decided the fate of their country's future is better served by lawmakers in London, rather than Brussels. The impact of the UK's exit from the European Union is relatively unknown as it is the first of its kind in history. This doesn't mean that investors can't speculate what will happen. Financial Stocks Crashing Global investors are betting that financial stocks will be hard hit following the "leave" campaign emerging victorious in the Brexit vote. UK-based banks were among the largest decliners, followed by other European banks, followed by US-based banks. Shares of Barclays PLC (ADR) BCS were trading lower by more than 26 percent nearly 2 hours ahead of the U.S.market open. Its London-listed stock was trading lower by nearly 20 percent at 150.10 pounds but earlier sank to a multi-year low of 130 pounds. Analysts previously suggested that Barclays' business would be the most exposed to a Brexit. Fellow UK-based Royal Bank of Scotland Group PLC RBS was also trading lower by nearly 24 percent in early morning trading. On the other hand, shares of HSBC Holdings plc (ADR) HSBC were lower by 11.33 percent. The bank previously warned it would may be forced to move jobs out of its London headquarters to France if the UK were to leave the EU. Germany-based Deutsche Bank AG (USA) DB saw its shares trading lower by around 17 percent early Friday morning. US Banks Least Affected For the most part, US-based banks were trading lower by a single digit percentage. Granted, this is still a notable sell off but compared to its European counterparts, investors are less concerned over how a Brexit will impact business. Shares of Financial Select Sector SPDR Fund XLF were lower by 6.13 percent. Here is a rundown of how some of the major banks were performing: Shares of Citigroup Inc C were lower by 7.56 percent. Shares of Bank of America Corp BAC were lower by 7.26 percent. Shares of Goldman Sachs Group Inc GS were lower by 6.98 percent. Shares of JPMorgan Chase & Co. JPM were lower by 6.42 percent. Shares of Morgan Stanley MS were lower by 6.19 percent. Shares of Wells Fargo & Co WFC were lower by 5.68 percent.