Sun | Jul 25, 2021

Stocks fall in US and Europe

Published:Wednesday | January 23, 2008 | 2:03 PM

US and European stocks have fallen following fears that key global economies will enter recession.

The UK\'s Financial Times Stock Exchange 100 index has reportedly slumped as much as 3.9 percent.

Yesterday, the US Federal Reserve made its biggest rate cut for 25 years to shore up growth and bolster markets.

However, worries remain that economic problems will spread, and already many firms have reported lower profits and a worsening business environment.

Analysts said stock markets are likely to be volatile in the coming weeks.

Yesterday, the European Central Bank (ECB) hinted that it would not follow the US Central Bank by slashing rates, and analysts said the Bank of England is unlikely to accelerate rate cuts.