Asia markets subdued and sterling volatile as scale of May's Brexit defeat sinks in

Markets now turn to assess the prospect of a delayed Brexit and PM's looming no-confidence vote

• Follow all the day's politics news - live
• Brexit deal full report: Theresa May suffers historic defeat

The comprehensive defeat of Theresa May's Brexit vision subdued markets in Asia, with sterling expected to remain volatile until the result of Wednesday's no-confidence vote in the prime minister is known.

Sterling sunk to trading at $1.2855 on the dollar early on Wednesday, having steadied after a tumultuous overnight session. May's crushing loss on Tuesday night and looming no-confidence vote triggered political upheaval that meant investors paused to assess their next options, putting pressure on UK-focused exchange-traded funds. A Tokyo-traded FTSE 100 ETF was down about one percent on Wednesday.

Related: 'Brextinct': front pages on Wednesday after May's Brexit vote defeat