Thread by @faisalislam

VIX so-called “fear index” shooting up now to 2008 financial crisis levels as stock markets slump again by more than 5% after Trump speech banning travel to US from most European countries...

If this starts to unwind in the direction it might do - erratic decisions from world leaders - corporate bond market stress /default insurance rates spike, markets capitulating from frothy highs.... we can forget about most of the numbers in the Budget yesterday.

It strikes me two biggest line items in Budget were not actually committed spending - they were committed only to spreadsheet - for allocation later in year at (delayed) Infrastructure Plan, and CSR..that is normal, but it also gives some room for manoeuvre if reality v different

FTSE now down 7%

Dow Jones soon to open in NY - circuit breakers plausibly likely to fire.

CAC-40 🇫🇷 down 8.5%
Dax 🇩🇪 down 7.5%
MIB 🇮🇹 down 7%
FTSE 100 🇬🇧 down 7%
FTSE 250 🇬🇧 down 8%
Eurostoxx 🇪🇺 down 8%

Dow Jones circuit breakers fire, halting stock market trading after 7% fall at opening... hadn’t happened since 1992, now twice in 1 week, as markets fear economic/solvency impact of pandemic and erratic uncoordinated response from some world leaders.

FTSE down 9.5% now as Dax and Italian index
CAC 40 down 10%

This is turning into a rout.

We’re heading for worst daily fall on FTSE 100 since 1987 Black Monday crash (though that was half of a 2 day crash) HT @Refinitiv

heading for double digit falls at close in all the main European indices

🇮🇹 down 14.5%
🇪🇸 down 14%
🇫🇷 down 12%
🇩🇪 down 12%
Record fall on euro Stoxx
🇬🇧 down 10%
🇺🇸 down 9%

FTSE slumped an incredible 10.87% at close - second biggest fall ever. More than Monday October 19 1987 -the Monday of Black Monday crash. (Fell more the day after)

£ down 2.2% against sterling