Matteo Renzi resigns after referendum defeat
President Sergio Mattarella will be looking for a new prime minister today after Matteo Renzi stood down overnight following a crushing defeat in yesterday’s constitutional referendum.
The referendum, which would have reformed parliament, reduce the power of the Senate, as well taking powers away from the regions was lost with 59.11% voting no and 40.89% voting yes. Turnout was 65.47%.
The Euro took an immediate hit on the news and had dropped 1% against the dollar and .67% against sterling at the time of writing. Financial commentators have worried that the ‘No’ vote could lead to the failure of up to eight Italian banks and all eyes will be on banking stocks once the markets open this morning.