Ftse 100 falls sharply as markets worldwide brace themselves for us interest rate increase z gas el salvador empleos

More than £40bn has been wiped off Britain’s biggest companies in the latest rout amid worries central bankers in Europe and Japan are losing faith in their massive stimulus measures and nervousness the US Federal Reserve will hike interest rates. The FTSE 100 tumbled 76.05 points, or 1.1pc, to 6,700.9 yesterday, erasing £19.5bn from the value of the UK’s benchmark stock index. Gas calculator That came on top of a £21bn hit on Friday, when the FTSE fell 1.2pc. The blue-chip index slumped as turmoil gripped global stock and bond markets, a bout of volatility that started at the end of last week and has been driven by growing uncertainty about the future of central banks’ policies. There are worries the Fed will lift rates when its meets next week, and investors have been listening closely to Fed officials for clues about central bank policy.

P gasol Dennis Lockhart, the head of the Atlanta Fed, fuelled concerns yesterday by saying there needed to be a “serious discussion” about a rate hike, although more dovish comments later on from Neel Kashkari, the president of the Minneapolis Fed, and then Lael Brainard, a member of the Fed’s board of governors, eased some nerves. As a result, the US benchmark Dow Jones Industrial Average rose 1.3pc in late trade. Electricity song lyrics European and Asian bourses fell heavily, however, with Germany’s Dax down 1.3pc. Electricity of the heart Bonds were also volatile amid continuing disappointment with European Central Bank chief Mario Draghi, who last Thursday did not signal the ECB was extending its quantitative easing programme. European stocks and bonds fell in a volatile market on Monday, hit by growing concerns that global central banks’ commitment to the post-crisis orthodoxy of super-low interest rates and asset purchase programmes may be waning.

German Bund yields rose further above zero to as high as 0.06 percent, their highest since Britain’s Brexit vote in late June, and the rise in lower-rated euro zone countries’ yields was even sharper. Major European stock indexes fell as much as 2 percent, putting them on course for their biggest losses since June, and Wall Street futures pointed to a fall of 0.7 percent at the open.

In Germany, shares in the utility giant E.ON have fallen 12pc. Electricity distribution network Shares in Linde, the world’s largest industrial gases and engineering company, dropped 7pc, just as it was spinning off Uniper, a power generation and energy trading business.

Linde’s drop in share value came after its merger talks with Praxair, its US rival, were called off when the German company pulled out. Electricity year 4 The new group would have been worth $60bn. The FTSE has climbed a little over the last hour and is now down 1.49pc on yesterday. Gas stoichiometry worksheet Is this all because of some hawkishness from the Federal Reserve?

Not quite. Jasper Lawler, an analyst at CMC Markets UK, explains how news from the European Central Bank (ECB) has exacerbated the dip. Stocks in the United States might have sold off the most on Friday but the trigger seems to have been European. Global bond markets, including US treasuries jolted on Thursday when ECB president Mario Draghi said the governing council did not discuss extending its asset purchase program. Bondholders suddenly didn’t like the idea of holding onto a negative-yielding asset which could fall in price if there’s no central banking buying alongside them.

The stock markets have taken their biggest tumble since the Brexit referendum, with the FTSE 100 down 1.73pc from yesterday at 9.30am this morning. Plunges in the European markets – Frankfurt’s DAX 30 tumbled 1.8pc to 10,380.46 points, and the Paris CAC 40 retreated 1.7 pc to open at 4,415.23 – follow slumps in Hong Kong’s Hang Seng Index, down 3.3pc, and the Shanghai Composite Index, down 1.85pc. Speculation that the Federal Reserve may act as soon as this month on rate tightening had appeared to be off the table following a string of weak data.

But on Friday, US Federal Reserve Bank of Boston President Eric Rosengren renewed speculation of a hike when he said in a speech that higher rates were needed to prevent the economy from overheating. Site: http://www.telegraph.co.uk/business/2016/09/12/ftse-100-falls-sharply-as-markets-worldwide-brace-themselves-for/