Did the July jobs report signal an oncoming recession? Or has something else spooked stock markets around the globe? Like, say, a regional war in the Middle East? Or maybe a bad election outcome in the US?
After the Nikkei index tumbled 12% — its worst day in 27 years — the US markets took a dump this morning too:
In early trading, the Nasdaq Composite tumbled more than 4%. The S&P 500 fell more than 3% and the Dow was around 2.6% lower.
Turbulence started in Japan, with the Nikkei 225 falling more than 12%, its worst one-day drop since the crash after Black Monday in 1987. Losses cascaded across Europe and the U.S., as investors dumped riskier assets and flocked to safety.
The declines extended what has been a dizzying few days on Wall Street during which this year’s most popular trades have been aggressively unwound.
The fall didn’t start this morning, as an interactive chart on…
