Brexit impact on India News

 Bargain hunting bailed out markets today as the Sensex rebounded by almost 122 points, taking comfort from a positive close in Asia despite contagion fears of the Brexit fallout looming large.

Global stock markets plunged on Friday, and sterling saw its biggest one-day drop in history after Britons voted by 52-48 percent to exit the EU, which it joined more than 40 years ago.  

Brexit may actually strengthen India's position as a truncated EU may have to rework its negotiation strategy in order to gain market access.

The UK voted to leave the European Union after 43 years in a historic referendum. Leave won by 52 percent to 48 percent votes.

The Brexit referendum result will be announced on June 24, 2016.

A convincing vote to remain in EU could mean David Cameron continues as the British PM; a vote for exit would see him yielding to a new leader.

Rajan's bombshell, coming just ahead of the Brexit vote on June 23, could trigger volatility in the stock bond and currency markets.  

The exact nature and extent of the impact - if "Brexit" happens - will emerge over a longer period of two years or more.

It is expected that the if Britian exits from the European Union, which is to be decided  through a referendum on June 23,, will topple international equity and currency market, and India cannot escape the brunt of the impact. But in the long run, Brexit may be good for India.