Ironic Markets

Stock markets around the world have fallen after President Obama’s plan to reform the American financial industry received broad support from other world leaders. “The Dow Jones plunged by 216 points, or 2%, to close at 10172.98, while the technology heavy Nasdaq fell by 2.6%, or 60 points, to finish at 2205.29. The broader S&P 500 Index also sank by more than 2% to end at 1091.76. Financial shares in both the US and Europe led the fall. Barclays dropped by 4%, while JPMorgan fell 3.4%. Mr Obama – who said he was ‘ready for a fight’ with banks – plans to limit their size and restrict risky trading. ‘Never again will the American taxpayer be held hostage by banks that are too big to fail,’ Mr Obama said. Meanwhile, Japan’s Nikkei also closed at a three-week low. Politicians in the UK were quick to sign up to Mr Obama’s proposals.”