Brexit storm eases but UK slump looms

Sterling rose against the euro for the second successive day and global shares rallied from week-long lows, as markets tried to assess the potential long-term damage to the economies of the UK and the rest of Europe from the decision last week of British voters to quit the EU.

Irish shares — among the worst casualties in the world from the outcome of Thursday’s vote — rose 2%, and London’s Ftse 100 index also gained, up 2.6% on the day.

However, there were many signs that investors continue to fret about the outlook for Europe’s banks.