Stocks, gold and the euro came under sustained selling pressure as doubts intensified that the Federal Reserve would initiate a further round of asset purchases in coming months to stimulate the US economy.
The “risk-off” mood was compounded by what many saw as a disappointing auction of Spanish government debt and by the release of eurozone economic data that did little to dispel fears that the region was heading back into recession.
The European Central Bank sprang no surprises as it left eurozone interest rates unchanged at 1 per cent.
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