Rolling coverage of the latest economic and financial news, as markets are hit by anxiety over the global economy

• Latest: German business morale has picked up…
• ..but German factories still struggle
• Introduction: Asian markets slide amid recession worries
• Full story: Markets rocked by recession worries
• European markets fall
• Why ‘Inverted’ yield curve raises recession fears

2.36pm GMT

Time for a quick recap.

Anxiety over the slowing global economy, and warning lights flashing in the US bond markets, are weighing on stock markets today.

The scariest chart of these days. US 10y yields in free fall. Plunges to 2.42%, lowest since 2017. pic.twitter.com/ljpEaw1kVR

For forecasters, inverting yield curves have about the same significance as voodoo cursed totems for followers of that religion. That’s because they have preceded the last seven official U.S. recessions. They are therefore not to be taken lightly.

In #Germany, the #Markit manufacturing index and the #IFO manufacturing index have exactly the same profile. The negative shock from the rest of the world is hurting the manufacturing sector and the German economy. Those who think the IFO is better shaped are wrong pic.twitter.com/Pt9ettaj5D

2.12pm GMT

Anxiety over a global slowdown has pushed the US Dow Jones industrial average to a two-week low:

Continue reading…

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