Early results from Italian exit polls suggest voters have overwhelmingly rejected the constitutional reforms proposed by PM Matteo Renzi. He has pledged to resign if the referendum failed to get a “Yes” majority.
Polls from both leading national broadcasters show the “No” vote beating the “Yes” vote by an average of 56% to 43%.
You're not a member! Trial today
If verified, a defeat of this magnitude could prompt fresh market volatility, especially in the banking sector which has lost almost half its value this year on the Milan bourse, hit by fears over its huge exposure to bad loans accumulated during years of economic downturn.
In early Asian trade, the EUR/USD is over 1% lower at 1.0540 and the local XJO Index has opened fractionally lower.
