The effect of brexit process on stock index and currency

As a result of the referendum held in the United Kingdom on 23 June 2016, the process of Britain leaving the European Union (EU) began. Brexit, a combination of the first two letters (Br) of Britain (United Kingdom) and the word "exit," means the separation of Britain from the European Union. The process of Brexit poses a first in history of United Kingdom and European Union and constitutes a breaking point both in the history of England and the history of EU. In this study it has been searched by seperating in two terms as pre-referendum and after referendum whether Brexit Referendum has an impact on USA, Turkey and main Europe Stock Exchange Indices and curriencies returns. In this content research data constitutes from daily closing price data of 3 pieces of price unit (EUR/USD, EUR/GBP and EUR/TRY) besides basic İndices Of Securities Exchanges of countries which of them take part in England's the most commercially cooperataing countries as USA, France, Germany, England, Ireland, Turkey, Cyprus. Granger Causality and Least Squares (OLS) tests were used after the Unit Root Tests in analyses. The findings revealed that the indices and currencies included in the research interacted with each other before and after the Brexit Referendum. Key Words: Brexit, Brexit Referendum, Granger Causality Test, EU Indices, FTSE100