Last week European markets opened on Monday, worse for the wear after Asian markets tumbled in light of the possibility that the American economy is faltering.
The FTSE 100 index in London also declined by 2.1%, whereas the CAC-40 in Paris reduced to the lowest by 2%. Advertising to reduce by 2%, FTSE fell by 2%, and Frankfurt’s DAX by 2.4%.
Earlier they marked lows for Asian stocks process; the Japan Nikkei 225 plunged 12. with 4%, or 4 451 points—the biggest by points in history.
It has been so following low jobs added data in the US on Friday, raising concerns about the world’s largest economy.
At the same time, the export-oriented currency, yen, has been rising against the dollar since the official increase in the interest rates by the Bank of Japan last week, which has also raised the price of Tokyo’s stocks for international investors.
All over the world, share markets, including the Taiwan stock exchange, South Korean exchange, Indian exchange, Australian exchange, Hong Kong exchange, and that of Shanghai, fell as well.
Recent poor figures from the US economy have aroused concern that it is already decelerating.
At the same time, the US Federal Reserve did not decide to reduce interest rates last week, while many global counterparts, namely the Bank of England,.
Even though it may be good news that the UK is cutting rates for the first time in over four years, if there is a view on the US, which can rattle markets anywhere.
There has also been concern that the shares in technology firms ranging from firms employed in AI technology have been overipped and are struggling.
Last week Intel informed about mass staff dismissal and low revenue. Besides, there are some expectations that its competitor—the manufacturer of AI chips, Nvidia—will postpone its latest release.
Some of these indices, such as the US Nasdaq index, which is made up of so many technology firms, actually reached an all-time high last month, while last week it fell by as much as 10 percent in what traders refer to as a correction.
