Many countries, US and eurozone, are experiencing the debt storm. However, the European markets have made gains today which became a source of relief for many. For quite some time, the European markets have been trying to face the challenge of debt crisis and the gains it made has somehow considered as a streak of hope.
The FTSE 100 index in London has increased 2pc. Germany’s DAX and France’s CAC 40 has also received similar increase. This is credited to the fact that buyers are slowly gaining confidence again on the European market and are now returning after the recent rout. In UK, HSBC has made gains that reach up to 3pc. It seems that the banks enjoyed the highest gains in UK.
Although the European markets have made gains, US and Asian markets have really lost a lot. The Dow Jones in US has lost 4.6 pc while the Asian market has seen a loss of 0.6pc for the Nikeei in Japan and 1pc for the Hang Seng in HongKong. The drop in the US market was deemed to be caused by the recent panic of buyers over the debt crisis.
It would not be easy to say that the markets will be stable at this moment. The markets have been rising and dropping in the recent weeks and they are expected to remain as unstable in the coming days. Many are incessantly focusing on the economic standing of the US. The fear is that if the economy of the United States will go down, many countries will be experiencing recession.
