Leaders Work Together to provide as much continuity and stability as we can for the marketplace to understand that there are ways to minimize disruption. There are ways to smartly move ahead. To protect the values and interests that we share. Mark hes expected to the white houses message that the special relationship between United States and the United Kingdom will not change. An israeli official said Prime MinisterBenjamin Netanyahu will make the announcement tomorrow. It will clear the way for israel to sell natural gas to turkey. Presumptive democratic nominee Hillary Clinton marched in the gay pride parade in new york city. The celebration started on a somber note with a moment of silence for the victims of the terror attack in orlando. Todays event had unprecedented levels of security. Hillary clinton holds a slim lead over donald trump in several battleground states. According to a cbs news poll. In florida and mrs. Clinton is by threemr. Trump points. In wisconsin she is ahead by five points. She has just a one point lead over trump in colorado. In North Carolina she leads by two points. Betty the labour party is sinking into crisis, facing a wave of resignations from top members of parliament. Have all quit. S after Jeremy Corbyn fired hillary ben. A second independence referendum is back on the table. I floated the idea she could block the uks exit from the european union. If we thought the weekend was going to bring stability, it certainly didnt. The chaos only increased. Sayingmy corbyn is a that he regrets the resignations. He will reshape his team in the next 24 hours. He said he wont betray the trust of supporters. He said he will stand again as labour party leader. He said we have to respect the vote for breakfast that was taken. Cabinet members have resigned and this follows hillary ben being fired after calling on Jeremy Corbyn to quit. This party will have a seat at the table when the establishment sits down to work out what sort of relationship it wants with the eu. There are calls for a snap election. A popular labor leader could have a chance to be the next Prime Minister. Partyot just the labour that is in turmoil. It is u. K. Politics in general. Resigned asn has Prime Minister. The campaign to succeed cameron is underway. Boris johnson the former mayor of london will declare his candidacy next week. Said he has no plans to call a snap election if he wins. Was the state of play Going Forward . A lot of eu leaders are recognizing that David Cameron cant immediately activate article 50 which would start those two years of negotiations while weve got this political crisis happening in the u. K. The german chancellor is hosting french and italian leaders. They will meet ahead of the rest of the Group Meeting on tuesday. In terms of what we will hear the big issue is that it is hard to see where these negotiations are going to go when the eu at the moment doesnt know who he is negotiating with. Is calling for a second referendum on independence for scotland. Possibilitybe a that brexit will be approved in edinburgh. Betty one of the markets saying . The pound is continuing its slide. Thats the milliondollar question. Stirling is down to 1. 34. Betty thank you. David what does brexit mean for Continental Europe . What countries are most vulnerable . Deutsche banks chief International Economist joins us here in new york. What is the timetable for this going to be . This is an incredible mess. We dont know how long this is going to take in the United Kingdom. We dont know how Different Countries are going to react. The political processes playing out. This is a political crisis, not a financial crisis. We need to figure out what europe wants and where it wants to go. How do you think this is going to spillover. New ideas coming in other countries. That on its own is something that is very unclear which countries will decide that. This is something that now will take months and potentially even longer. The question of course is how long will this cloud hangover markets. Not only in europe but also the u. S. We used to have an environment where we thought we understood the rules the game in various countries. Now we have ripped up those roles and we have a whole new tapestry of ideas that potentially could go down many different routes. We just dont know what scenario is going to happen. Its not that the economy is at a standstill the same way we were with lehman brothers. Do we have a level Playing Field across industries . That becomes very important. Betty is there some sort of economic answer here. European central bank is watching and waitandsee what happens with the economic data. Central banks need to do something about liquidity. If the Financial Markets are functioning that is good news that is the Silver Lining here. They have functioned relatively ok since friday. Even if they are plunging. Maybe spreads are widening in some places. David thank you. ; much more ahead on our special brexit coverage. Betty tomorrow will surely be another busy day of trading. Markets will be opening in the hours ahead. Well go live to hong kong. David welcome back to our special brexit coverage. Betty asian trading about to get underway. Missed out on all those actions on friday. How are we set up . Haidi we didnt miss out when it comes to the selloff across regional equities. Remarkable surge in the end that weve seen. Week this of the japanese yen would be at 106 relative to the dollar. You have to be wondering what will happen next. 20 , one of the biggest gainers of the major currency. This is creating quite a headache for policymakers in fact heading for that strongest point since 1973. We are getting very close to unwinding all the positive impact of the japanese yen of the past three years of japanese economics. Unprecedented levels of stimulus. The concern now is going into a brandnew trading week with a rally that is not over. Investors are flocking to save havens. The median was actually at 124. Analysts including those at hbc called the japanese yen at to 95 by the end of the year. We could be at that level within weeks. David what are we hearing about the bank of japan and possible interventions . Haidi speculation about just how much pain policymakers can take. They have already done a remarkable amount of stimulus efforts to get to where they are. The japanese yen is going to put even more pressure on that inflation figure. Making exports less competitive. He stopped short of commenting on whether that would take place in the form of the unilateral optionor the preferred of a coordinated response with g7 counterparts. He said he will be monitoring the impact on to Financial Markets. Weekend we heard a report in the domestic newspaper that they are considering measures including the possibility of unilateral action in the currency markets. If thed take place japanese yen jumps again abruptly. The g7 collaboration would be the preferred option. But we will wait to see if there is more action coming from the bank of japan in the monday session. Betty outside of brexit what we need to watch out for in asian trading . Haidi will there be any response at of china . We had another report saying that the bank of china had just met a week before the u. K. Referendum saying that a repeat of last years turmoil in the markets must be avoided. Both the u. S. And chinese equities. It comes in pretty bad sign of stability is what thereafter. The pressure is on for the pboc to allow the currency to weaken. But that does that too much that capital outflows are likely to speed up again. David thank you. Betty deutsche banks chief International Economist is with us again. What is going on in the United States . Aside from that stomach turning 600 point drop in the dow jones average on friday. Will it have a Lasting Impact . Is an extremely important question for investors to think about. It is very important for the u. K. Europe. It is less important in the u. S. The key question for u. S. Investors is to think about what we be talking about in a few weeks time. The expectation is that i assembled the going up. Nonfarm payrolls are coming out. Another strong number. There will be a july meeting of the federal open market committee. Maybe the brexit issue is going to hang around u. S. Markets for a little while but we will eventually go back to talking about u. S. Fundamentals. Numbers so that we should be focusing too much on them. Will hundred, jobs make the difference . The whole tone of what you see in the headlines on your bloomberg screen will have less and less to do with brexit. We need to think about the psychology of Financial Markets in the situation. David how big a risk is contagion . Look at what happened to the bank stocks on friday. That the whole Political Landscape is open and we see political repercussions. Across borders. Imports and exports are only 10 of gdp. In the u. K. Is morally 30 . For many European Countries it is 50 . Relativelystates is not impacted by the brexit issue. It is more about how do we feel about the future the markets. The impact on u. S. Gdp will be limited. Betty now is barely a 15 . That reflects something very important. U. S. Assets in particular u. S. Treasuries are big safe haven at the moment. If you are worried about europe, you will want to invest in the United States. Pushing the whole yield curve down further out. Im not exposed to that risk in europe is so difficult to quantify. What are policymakers here in the United States thing about doing . We dont have a freeze on the financial situation. It means that the Federal Reserve is on hold for longer theres no doubt about it. Not so much in the next nonfarm payrolls of the following one. To find out that this is not having a significant negative impact on the u. S. Economy. We need to see how big this confidence effect is. How negative that impact is going to be on the hiring decisions in the u. S. Betty thank you. Said the upside of brexit is being ignored. There you go. David coming up we get mark cubans take on the brexit issue. Absoluten uncertainty. That is what the market hates. Very manipulative situation right now. The political aspects on both sides of the ocean and how corporations deal with those circumstances are going to affect Going Forward in the United Kingdom. And also in our election. David cameron this country requires fresh leadership. Betty now to look at what we are likely to see tomorrow. Where is the money going. We know where it is going. Out of stocks anything risky. We are seeing buying of treasuries and buying of gold. That gold rally is likely to continue. There are number of Different Reasons for this. Gold is traditionally a safe haven when people are worried about the global economy. That were forecasting probably wont see a Federal ReserveInterest Rate increase this year which makes gold look more attractive. We might see some weakness in the dollar Going Forward. Forecast where the. Edian david are people going to be looking at equities tomorrow . We definitely are seeing after the big drop that there is some interest in looking at stocks around the globe in specific sectors. Betty thank you. Anotherlikely to be turbulent day in the Financial Markets. Still ahead, spain goes to the polls for the second time in six months. That is next in our special coverage of brexit. Betty from bloomberg world headquarters, you are watching and listening to bloombergs special sunday exits coverage. Im betty liu. David lets get a check of the headlines. Mark crumpton has it at the news desk. Mark thank you. U. S. Reaction to the brexit vote continues today. Appearing on abc, Senate Majority leader Mitch Mcconnell said people in the u. K. Just got tired of being told what to do. I talked to the british who made the decision. You can read about the frustration of having ceded to the bureaucrats at brussels so much authority. You see the same thing here. We have had a regulatory rampage over the last six years. A lot of the people on these boards and commissions are pursuing policies that we havent passed in congress. Mark senator mcconnell also discussed the special relationship the u. K. Has of the u. S. , saying the only other open bilateral relationship in the world that is anywhere near as close would be our relationship with israel. A new poll shows support for donald trump has plunged. The Washington Post abc nws ews survey has him trailing significantly. Other organizations found him leading 46 40 4 . 4 . The labor secretary was asked about his qualifications. Is donald trump qualified the president . The answer is no. Hes a chaos candidate. The difference between secretary clinton and donald trump in terms of temperament, judgment, values, couldnt be more stark. Theyre on display once again over the last two weeks, whether its the brexit aftermath where he talks about his record system, or orlando where he is dividing the u. S. 2 3 of people surveyed said he is unqualified. Says hes voting for Hillary Clinton. He says republicans must choose the country over the gops presumptive nominee. He says a Trump Presidency is unthinkable. The United Nations says more than 64,000 Syrian Refugees stuck in the desert since jordan sealed its borders have no access to food or water. Action after a Suicide Attack near one of the encampments. Jordan has indicated any early lifting of the closure is unlikely, and says International Agencies must find alternative routes for getting aide to refugees. Global news, 24 hours a day, powered by our 2400 journalists in more than 150 news bureaus around the world. Im mark crumpton; this is bloomberg. David thanks. The question at top of mind is what happens next. David cameron is expected to address parliament on monday while european leaders meet in berlin and john kerry is heading to europe, meeting leaders in london and brussels. Lets go to nara check for more nejra cehic. Theres tons of disunity in london and in brussels. Nejra its interesting to what the next step will be, because logically, the next step would be for the u. K. To trigger article 50 and start the negotiations on leaving the eu, but other governments in europe arent expecting David Cameron to do that when he meets other eu leaders on tuesday in brussels. What they will want to some kind of plan is to what happens next. Its difficult to know what that plan will be, given that there is a political crisis at the moment, not just in government with David Cameron having resigned as Prime Minister, but also with the opposition. Weve had 11 members resign from the shadow cabinet, and a senior labor lawmaker fired after he called on Jeremy Corbyn to quit. Jeremy corbyn has said hes not going to stand down, but with the u. K. And political crisis, it is very much in a week negotiating position at the moment. Not only that, but its not clear whos going to be negotiating with the eu in the event these negotiations need to take place. In terms of where europe stands, on saturday, we were getting the feel from europe that they want to the u. K. To start this exit as soon as possible, but the tone has softened somewhat since then. On the lamarcus chief of staff urging a timeout, saying that u. K. Leaders need to austin consider the applications. Betty it sounds so chaotic. Were there no contingency plans made it all beforehand . Nejra chaotic is exactly what it is. It doesnt look like there are. The leaf campaign got what it wanted, that british voters voted 52 48 to leave the eu, and has now indicated that they dont have a plan in place as to what to do next. David cameron has resigned, passing the baton to who knows. It looks at the moment like there isnt a contingency. Where we have seen contingency is from Central Banks globally. That is where we have seen some plans input some place to stop complete chaos in the financial system, although as we know, it didnt stop the chaos and markets on friday. We are continuing to see the extending sterling, its losses after it hit its lowest since 1985 on friday and had its biggest drop on record. David thank you very much. Nejra cehic. President obama hard for britain to reject a brexit, warning that leaving could threaten transatlantic commerce. You will see how real that threat is. Official under president carter good to have you. Had of the referendum, consensus seemed to be that the u. K. Would remain, and you said the markets are rarely wrong with you look at big political events. What did the markets get wrong . Well, they got wrong the outcome of the vote. David [laughter] and how did that happen . Good question. People echoany some version of what i said before the vote, which was essentially that they have never seen markets on a matter that markets cared about get it so wrong. Wrong will bet debated for a long time. I think the superficial answer the final polls and thought they reflected the polls,outcome, and the at least the last ones, whi