European Markets Suffer Heavy Falls in Early September Amid Fears of More Bad News to Come
The FTSE took another hammering on opening on Friday amid growing concerns over US jobs data due out later that day. Following Thursday’s close at 5,418.65, the London’s FTSE 100 dropped 108.09 points, which equates to 2.0%, by midday.
This dip follows fears over the health of the global economy and potential for a double dip recession following the publication of the UK retail sales figures last month and the global manufacturing sector surveys released on Thursday.
John Douthwaite, chief executive officer (CEO) of SimplyStockbroking, said: “The latest fall follows a highly volatile August period which saw global markets take substantial hits over political uncertainty over the US debt ceiling and subsequent credit downgrade. Market turbulence is set to continue further in September as the sector continues to be rocked by weak economic data coming from the US and Europe.”
London’s FTSE 100 dropped 1.8% in the first two hours of Friday morning trading, while Frankfurt’s Dax fell 2.7% as investors awaited key US jobs data.