Global Stocks Slip Sharply on Economic Fears

The markets took a plunge on Thursday following US Federal Reserve’s Wednesday warning of “significant downside risks” in the economy and its announcement to launch a $400b program Operation Twist, in lieu of a third round of quantitative easing.

Also, a preliminary purchasing report released by Markit showed contraction in the  Eurozone with a reading of 49.2. The decline hints at a recession, and is the first slip since the Eurozone bounced back from recession in Q3 of 2009.

Read the Market Watch report. 

For more on this story, read the Wall Street Journal report.