There is no reprieve for investors. Nearly all the Asia Pacific markets slumped but Australia. Chinese markets fared better than most, but the was off 4.5%, and India was down almost as much in late dealings. Europe’s Dow Jones is off more than 3% near midday, led by a sell-off in banks that are suspending dividends and share buybacks. It is giving back the last two days of gains. US share is sharply lower. Yesterday, the gave back half of Monday’s gains, and today it is set to give up the other half and more.
Bond markets are quieter, but still, the and 10-year benchmarks are around five basis points lower, while peripheral European bond yields are firmer, with Italy’s up five basis points. Core yields are a couple of basis points lower.
The is extending yesterday’s gains, accept against the yen. Emerging market currencies are nearly all on the downside, led by 1.5%-2.0% losses of the Mexican peso and Hungarian forint. is higher but struggling to reclaim the…