Uncertainty continues to stifle markets

EUROPEAN markets dropped further yesterday chiefly on the back of rising bond yields and uncertainty over the new Italian government doing little to convince investors that the debt crisis is close to coming under control.

Despite the latest figures from Eurostat showing that the eurozone economy remained stable in the third quarter, helped mainly by growth in Germany and France; all major European bourses fell again. Of the big guns, the CAC in Paris was down the most, by just shy of 2%; while the DAX in Frankfurt was down by just under 1%.

London’s FTSE-100 came closest to stability with just a marginal 0.03% dip.