Overnight

With post-Brexit still much in the news, Asian shares continued with the exception of Japan to trade lower as concerns about volatility weigh on markets. The Hang Send dropped 1.4%, the Shanghai Composite Index fell 0.5%, the Kospi lost 0.7% while the Australian ASX 200 traded flat.

The Nikkei recovered from last week's sell off after the UK voted to leave the EU, rising 1.8%, still way down from last Friday's almost 8% drop. But China being China devalued the yuan in the largest drop since last summer.

The volatility should not surprise as investors seek to get a fix on what Brexit means on a longer term, focusing on whether it will lead to more countries move to egress the EU. The People's Bank of China fixed the yuan at 6.6375 to the U.S. dollar, nearly a 1% depreciation and that almost matched the 1.1% depreciation the PBOC implemented last August. Some will deny it, but this is about trade.

The expectation is that trading will remain volatile this week, as investors continue to factor in the implications of the U.K. referendum outcome. They are monitoring how the country will go forward in its relations with Europe, as well as any further financial contagion. Reuters reported: "MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS shrank losses to 0.6 percent as companies with UK exposure in particular came under more pressure."

Safe-haven assets like government bonds and gold also rallied with gold finishing at $1,323.68 an ounce.