Stocks tumble worldwide amid recession fears
European stocks fell on Friday, following Asia’s earlier in the day and a worldwide decline Thursday, because of fears that the US economy will fail to recover. European shares suffered their biggest two-day slump since 2008 and oil dropped to 80 dollars a barrel, while gold reached a record high.
Paris’s Cac 40 was down 2.99 per cent to 2984,07 points at midday, while in London the FTSE 100 fell 2.5 per cent to 4967, below the symbolic 5,000 mark.
Earlier Asian bourses took a tumble, with Mumbai down, 2.92 per cent, Tokyo down 2.51 per cent and Seoul slumping 6.22 per cent.
The new falls come after a week of relative calm. The volatility is attributed to both CitGroup and JP Morgan banks cutting their forecasts for US growth, triggering fears of a global recession.
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