Stock markets suffer big falls

Stock markets have suffered another bruising day, tumbling as worries about the economy intensify following a series of rate hikes around the world.

The UK and Switzerland raised interest rates on Thursday, a day after America’s central bank announced its steepest interest rate rise since 1994.

Policymakers are raising rates to slow demand in hopes of easing some of the pressures pushing up consumer prices.

Investors fear the moves will tip the global economy into sustained slowdown. “The Federal Reserve is going to hike interest rates until policymakers break inflation, but the risk is that they also break the economy,” said Ryan Sweet of Moody’s Analytics after the US rate rise was announced. – BBC