Hypo Venture Capital: Atlantic International Partnership Headlines: On t...

Hypo Venture Capital: Atlantic International Partnership Headlines: On t...: Tent-city activists hold live video chat with Madrid’s ‘May 15’ protesters, jointly prepare for next month’s int. anti-bank ‘Day of Rage’. ...

Hypo Venture Capital: Hypo Venture Capital Zurich Headlines: World marke...

Hypo Venture Capital: Hypo Venture Capital Zurich Headlines: World marke...: Amid the uncertainty, traders pulled out of any risky investments — such as stocks, particularly financial ones, the euro and emerging mark...

Hypo Venture Capital Zurich Headlines: World markets tumble on renewed US recession fears

Amid the uncertainty, traders pulled out of any risky investments — such as stocks, particularly financial ones, the euro and emerging market currencies — to pile into safe havens: U.S. Treasurys, the dollar, the Japanese yen and gold.

European shares slumped in early trading. Britain’s FTSE 100 dropped 2.9 percent to 5,136.36. Germany’s DAX fell 4.7 percent to 5,280.13, and France’s CAC-40 tumbled 4.6 percent to 3,003.64.

Markets in the U.S. were closed for the Labor Day holiday.

Banking stocks were among the hardest hit after the U.S. government sued 17 financial firms Friday for selling Fannie Mae and Freddie Mac billions of dollars worth of mortgage-backed securities that turned toxic when the housing market collapsed.

Among those targeted by the lawsuits were Bank of America, Citigroup, JP Morgan Chase and Goldman Sachs. Large European banks including The Royal Bank of Scotland, Barclays Bank and Credit Suisse were also sued.

Renewed jitters over the eurozone debt crisis also contributed to the slump in financial stocks amid concerns they would need to raise new capital. Deutsche Bank was down 9.4 percent in Frankfurt while Societe Generale in Paris shed 9 percent.