FTSE 100 tumbles as US recession fears spark global market selloff, as Japan’s Nikkei suffers worst losses since 1987 – business liveGood morning, and welcome to our rolling coverage of business, the financial markets, and the world economy.
A jump in the number of Americans filing new applications for unemployment benefits, to an 11-month high, followed by….Underwhelming financial results from major tech companies, which didn’t persuade Wall Street that the huge investments in artificial intelligence were paying off. From there, the market turmoil morphed into a full-on avalanche, propelled by not one but two vector bear assaults. And if you throw in the dismal high-tech earnings misses into the mix—well, that’s strike three. Each factor compounded the others, turning a manageable slide into a frenzied tumble down the financial slopes.
He’s explained to Bloomberg TV that Goldman had turned more cautious a few weeks ago – partly because US economic data had become weaker. The wider markets, though, had treated that ‘bad news’ as ‘good news’, as it could spur interest rate cuts.Goldman Sachs' Christian Mueller-Glissmann says the market situation is showing a "somewhat healthy correction"
Business confidence rebounded to a five-month high, with many businesses reporting higher sales volumes, the latest UK UK Services PMI report shows.“With the general election period coming to an end at the start of July, survey data for last month showed the UK service sector enjoyed a modest rebound after a fairly subdued end to Q2.
The Sentix index for the euro zone fell to -13.9 points for August, from -7.3 in July, which is its weakest reading since January.economic index: Tired recovery path has finally come to an end. Consensus completely surprised: Assessment of the current situation decline by 3.3 points, as was the expectations component, which fell by a whopping 10.3 points.UBS Global Wealth Management’s base case remains that the US economy will avoid a recession with growth remaining close to the 2% trend rate.