US stocks tumbled on Thursday as world markets fell yet again. The Dow Jones industrial average was down nearly 3.13 percent as the Federal Reserve warned there were significant risks to the already frail US economy. The situation has been made worse by slower growth in other countries such as China and Germany. The world markets measured by the MSCI index fell by 4.4 percent. In Europe, the FTSE Euro fell 200 points and Britain’s market was down 4.8 percent.
Seijiro Takeshita, director of the securities and investment firm Mizuho International, told Al Jazeera that the euro zone crisis had created uncertainty in the world markets.
The US dollar however, climbed as investors exchanged their currencies in favor of the most liquid currency.