UK’s Boris Johnson wins backing from key colleague for prime ministerial bid

USA short-term interest rates futures hit contract highs in early US trading, boosting expectations the Federal Reserve may cut interest rates to help shield the economy from any global fallout. The euro slid 2.0 per cent against the US dollar. Utility stocks were the only one of the 10 sectors in the S&P 500 index to rise on Friday. Big banks took a battering, with Lloyds, Barclays and RBS falling as much as 30 per cent.

The “Remain” camp also did not do enough to highlight the benefits of allowing European immigrants into the country.

They added that under the bloc’s treaties “EU law continues to apply to the full to and in the United Kingdom until it is no longer a member”.

In an emotional statement outside Downing Street, Cameron said he would resign to make way for a new leader by early October after the failure of his “Remain” campaign.

“I do not think it would be right for me to try to be the captain that steers our country to its next destination”, the outgoing prime minister said as sterling, global stocks and oil prices plummeted. A poll of economists by Reuters predicted Britain was likelier than not to fall into recession within a year.

The City of London Corporation, which represents the financial services industry, a big maker of money and jobs for the country, sought to downplay the impact of the vote on the square mile that is the world’s second most important financial centre after NY.

“It’s an explosive shock”. There is no need for a precise timetable today, but we should aim to have a new prime minister in place by the start of Conservative conference in October. German Chancellor Angela Merkel, who invited the French and Italian leaders to Berlin to discuss future steps, called it a watershed for European unification. Polls had consistently put a solid majority in favour of continued European Union membership and a victory for In would finally lance the boil in the Conservative Party and seal his legacy as the man who settled Britain’s place in Europe.

Johnson asserted that the European Union was a “noble idea for its time, it is no longer right for this country”.

The British vote will lead to at least two years of divorce proceedings with the European Union, the first exit by any member state.

“We can not afford to wait until the Conservative Party will find a new leader”, said Slovak Foreign Minister Miroslav Lajcak, whose country takes over the EU’s presidency next week and will have to supervise preparations for Britain’s departure. “There is no doubt that this is a blow to Europe and to the European unification process”, Merkel told reporters in Berlin.

The socialist leader of the main opposition Labour Party was criticised for his lukewarm support for the “Remain” campaign and he is being blamed for the decision by swathes of Labour voters to back a Brexit.

“Take a bow, Britain!”, eurosceptic newspaper the Daily Mail wrote across its front page on Saturday.

The shock hits a European bloc already reeling from a euro zone debt crisis, unprecedented mass migration and confrontation with Russian Federation over Ukraine.

Jeremy Corbyn, an European Union skeptic was forced by the Right wing Blairites in the Labour Party, to give critical support to the EU. The Conservative peer said he was “very disappointed” by the Brexit vote and believed United Kingdom membership was “good for our place in the world and good for our economy”.

With global markets in turmoil, she said it was important to “not draw quick and simple conclusions from the referendum in Great Britain, which would only further divide Europe”. It’s clear that whilst Britain is now at a crossroads, so, too, is the rest of Europe.

“There is plenty to do now to help make this decision work, to stabilize our economy, to reassure our allies and to continue the program we were all elected on a year ago”.

In Friday’s statement after the stunning outcome of the vote, Obama highlighted the USA relationship with the European Union, saying the EU “has done so much to promote stability, stimulate economic growth, and foster the spread of democratic values and ideals across the continent and beyond”. With great regret, Germany must now accept the decision of the majority of British population who wish to end membership of Britain in the EU. The suspect told a court his name was “Death to traitors, freedom for Britain”.

It revealed deep splits in British society, with the pro-Brexit side drawing support from millions of voters who felt left behind by globalisation.

“People want to take their country back and they want to have independence in a sense”.

If it’s hard to understand why the United Kingdom would vote to leave the European Union, spawning deep uncertainty about what happens next on any number of fronts, look no further than immigration. “I think the electorate have searched in their hearts and answered as honestly as they can”, Johnson said.

The Federal Reserve is less likely to raise short-term interest rates this year – and might even have to cut them.

Hollande vowed Saturday to maintain relations with Britain, notably concerning migrants crossing between the two countries and military and economic cooperation.