European markets brace for fallout as Italian PM suffers referendum defeat

Euro falls to 20-month low

clock • 5 min read

The euro fell to levels last seen in March 2015 last night as Italian Prime Minister Matteo Renzi said he would resign after suffering a worse defeat than expected in the country's referendum on constitutional reform.

With most ballots counted in Sunday's referendum, Italy voted by 60% to 40% to reject  Renzi's (pictured) proposals to greatly reduce the power of the Italian Senate in order to simplify and speed up the process of passing laws. This was a wider margin than expected for the 'no' vote, with the turnout also high at around 70%.  In a late-night news conference, Prime Minister Renzi said he took responsibility for the outcome, and said the 'no' camp must now make clear proposals. The result will be seen as a further victory for populist parties in 2016 following the UK's vote to leave th...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

Why investors 'can't outrun' slow-moving demographics

Why investors 'can't outrun' slow-moving demographics

'Demographic change is a key megatrend'

Darius McDermott
clock 07 March 2024 • 5 min read
Spring Budget 24: Ten key takeaways from Jeremy Hunt's speech

Spring Budget 24: Ten key takeaways from Jeremy Hunt's speech

British ISA, Office for Budget Responsibility, tax cuts

Valeria Martinez
clock 07 March 2024 • 4 min read
Spring Budget 24: Chancellor unveils long-term UK growth plan

Spring Budget 24: Chancellor unveils long-term UK growth plan

Includes British ISA launch and further NI cut

clock 06 March 2024 • 1 min read