World stocks tumbled yesterday as doubts about the strength of economic recovery threatened to derail the five-month rally in the global markets.
Equities in Asia and Europe saw some of their biggest one-day falls since the turnround in the markets in March as investors were jolted by data from Japan.
Even though the world's second largest economy grew 0.9 per cent in the second quarter – its first rebound after a year of contraction – this was below average market forecasts and sent the Nikkei 225 average 3.1 per cent lower, its biggest one-day fall in five months.
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