Renewed worries about the US economy have sent markets tumbling further, ahead of tomorrow's eagerly watched non-farm payroll numbers.
The Dow Jones Industrial Average is now down nearly 250 points, with the FTSE 100 off 124.5 points at 5375.4. The real catalyst for the decline has been an unexpected rise in US benefit claimants, with a service sector survey also showing a weakening of employment trends.
"A further rise in [tomorrow's unemployment] rate from 5.7% to 5.8% seems fairly likely, subject to the usual swings in the participation rate and the high volatility of this data," said ING Bank's Rob Carnell.
