Tuesday, June 5, 2012

Stock markets tumble as gloomy forcasts from U.S. and China add to Eurozone financial crisis

Europe's leading stock markets dropped sharply at the start of trading today, amid growing concerns for the world economy.

With London closed for the jubilee bank holiday, the German blue-chip DAX stock index fell below the key psychological level of 6,000 points for the first time since January at the start of trading.

The DAX opened at 5,976.46 points, down 73.83 points or 1.2 per cent from the close on Friday.

In a note to investers, brokers at LBBW said: 'Surprisingly weak economic data from U.S., China and Europe are fuelling fears of a global economic downturn.

'The bearish sentiment looks set to continue in Europe for the time being.'

In Paris, The CAC 40 index fell by 0.59 per cent to to 2,933.18 points, after having lost more than two per cent on Friday to reach a six-month low. Read More