Investors sent global shares plummeting yesterday as fresh fears over the extent of the worldwide credit crunch and weak US data combined with soaring oil prices to spread jitters across financial markets, The Times reports.
The US Federal Reserve was forced to pump $41bn (£19.7bn) into the financial system, the largest cash infusion since the September 2001 terrorist attacks, as fears of a fresh round of massive banking writedowns added to concerns on Wall Street and in London. Economists said that a clear signal from the Fed that its quarter-point rate cut on Wednesday may be the last for some months added to investors’ fears that the central bank’s scope to fend off a severe US slowdown may be hampered by its nagging worries over inflation dangers. MORE EVIDENCE OF the slowdown in the economy emerged yest...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
