Global stocks plunge on recession fears as billions wiped from FTSE 100

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Global stocks plunge on fears of recession as billions wiped off FTSE 100 via IrishTimesBiz

“They were your winners in an otherwise weak market,” said a trader. “On the other side of the tape, it’s pretty ugly.”The banks were among the hardest hit, withdown 3 per cent. “The general consensus was that rates are not going to move as high as initially anticipated, and therefore won’t be as conducive for banking profits,” noted a trader.

Bottom of the bunch were some of the country’s biggest natural resources giants. North Sea oil producer Harbour Energy slumped 9.6 per cent, while Fellow oil giants Shell and BP fell by 8.5 per cent and 7 per cent respectively. Anglo American and Glencore both lost 8 per cent.Rising worries about a European recession hit stock markets as the euro slumped to a two-decade low and the pound fell to its lowest since the start of the pandemic.

“Aside from the threat of Russia cutting off gas supplies to Germany and other European importers, a strike at several gas fields in Norway is fuelling the supply concerns,” Boyadjian added. Amazon, Microsoft, and Alphabet — mega-cap growth stocks seen as sensitive to interest rates — fell between 0.9 per cent and 1.6 per cent.

 

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