The Brexit vote sent shockwaves through global markets, but how will it impact Americans?
- U.S. residents may see retirement investments affected
- Traveling to the U.K. may be cheaper in short term
Experts say the first thing U.S. residents might see is retirement investments taking a hit. The Dow Jones plummeted more than 500 points after the opening bell following the vote, and ended the day down 611 points.
But financial analysts are telling investors to take a deep breath and stick with their plan.
“It will represent a buying opportunity next week," said Raymond James Financial's Jeffrey Saut. "The word of the day is 'not to panic.'”
Some financial analysts are calling it Britain’s "Black Friday," and comparing it to the Lehman Brothers collapse of 2008. But Saut says it’s nothing like the crisis that threatened to bring the global markets to its knees.
So, stick to your financial plan. But what about your travel plans?
Gary Stein, with Clearwater Travel, says it’s time to pack your bags for the best deal.
“It’s a great opportunity for us to go there starting now," said Stein. "Everything is low. You’ll get a good value for our dollar, and airfare is low. It’s a good time."
Stein says the news isn’t as good for the Brits. Because the pound is plummeting, they’ll have to pay more to get here, and to stay here.
Laurie Black, a Brit who calls Florida home, says he believes people from the U.K. may steer clear of traveling due to the poor exchange rate. However, he owns a British specialty store called London Pride that sells goods and souvenirs from across the pond, and that's helping him seeing a silver lining in the Brexit vote.
“We use American dollars to buy these goods from Britain," said Black. "That means prices will come down a little.”
He hopes the panic subsides, too, as the world learns what impact this surprise vote has on the global markets.