It was a shocking election result to say the least when Conservative Party leader and Prime Minister Theresa May failed to secure a majority for her party. Prior to the polls closing it had been expected that the Prime Minister would not only win a majority but would add to the one she already had, perhaps by quite a bit. This however did not happen.
When it became clear that the Conservatives would in fact fall short of their majority, the British Pound began to take a nose dive. It dropped suddenly and sharply but did manage to rebound slightly against the drop that it had just taken when investors began to ease up a little on their worries.
Despite the Pound taking a beating, the markets in general seemed to be in pretty good shape. There was a worry that they too would drop, but instead they seemed to look at the news and shake it off. No worries for a market that has been on a rampage towards higher and higher numbers in recent years.
CNBC.com reports that other currencies increased in value when paired up with the British Pound. Even the Euro saw an increase against the Pound as it seems that most of Europe is simply not all that concerned with what happened in the election, at least not as of yet.
Negotiations begin on Brexit in just ten days time. While Theresa May remains as Prime Minister for the time being, the fact remains that she could have a very difficult go of things if she is seen as not a very reliable leader. Her leadership of the party is already in question, and this means that those who are on the other end of the negotiating table may see this a s time to push through the things that they care about.