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Brexit: Pound sterling plunges to 31-year low amid fears over EU referendum result Pound sterling plunges to 31-year low amid Brexit fears
(about 1 hour later)
Fears of Brexit have pushed the value of the pound to its weakest level against the dollar in 31 years. The Brexit vote has pummelled the value of the pound to its weakest level against the dollar in more than 31 years and raised the prospect of extreme volatility in other financial markets when they open later today.
Market expectations that the UK is on the verge of voting to leave the European Union this morning sent sterling down to $1.35, depths it has not been plunged since 1985. Confirmation that the UK has voted to leave the European Union has sent sterling down to $1.33, depths it has not been plunged since 1985. 
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An index of betting odds compiled by Oddschecker now puts Brexit at 88 percent, up from from just 23 percent yesterday. Meanwhile, FTSE 100 Index future derivatives, which give an indication of where the stock market will open at 8am, have slumped 8 per cent. 
The pound today has already set a record intra-day swing of more than 10 per cent between its high and low points.  Some analysts have questioned whether the UK stock market will be able to open on time after volatile trading in Japan overnight, in response to the Brexit vote count, triggered automatic trading circuit breakers on the Nikkei Index.
The value of the currency soared as high as $1.50 after polls released after 10pm showed a Remain lead. But that mood changed rapidly when the actual count results started to come in. The value of the pound soared as high as $1.50 after polls released after 10pm last night showed a Remain lead. But that mood changed rapidly when the actual count results started to come in, sending it down 11 per cent within hours, the biggest intra-day swing on record.
Analysts, including the Bank of England, have warned that the pound could fall up to 20 per cent in the wake of a Brexit vote. That would be a collapse on a similar scale to the routs following Black Wednesday in 1992, when the UK crashed out of the European Exchange Rate Mechanism, and also the 2008 global financial crisis. Analysts, including the Bank of England, have warned that the pound could ultimately fall up to 20 per cent in the wake of a Brexit vote. 
Meanwhile, FTSE 100 Index future derivatives  - which give an indication of where the stock market will open at 8am - have slumped 6.1 per cent. That would be a collapse on a similar scale to the routs following Black Wednesday in 1992, when the UK crashed out of the European Exchange Rate Mechanism, and also the 2008 global financial crisis.
US stock-index futures are down more than 3 per cent. Since currencies began to float freely against each other in 1971, the pound has rarely languished below $1.40 apart from a period in the mid-1980s when the dollar was extremely strong.
Chris Towner, chief economist at HiFX, said: “We still have a lot of votes to come, however the market cannot ignore the momentum and the reality of where the UK is heading.” Mike Van Dulken of Accendo Markets identified which company stocks are likely to be punished by traders today. 
"[Sterling] didn’t have this bad a day in the [2008-09] global financial crisis and the moves by the bookies to price Leave as the favourite is killing the pound" said Jeremy Cook of World First. “We expect the hardest hit stocks to be financials - banks, insurance - followed by housebuilders, with commodities related-names - miners, oil -  following close behind” he said. 
However, some analysts were more guarded.
"A lower [pound] should not be taken as a strong sign Leave has won yet" said David Bloom of HSBC. "The probability-weighted price for Cable [sterling versus the dollar] if Leave and Remain are seen as equally likely outcomes is $1.39".