Poor US Job data provokes double dip fears

Relatively good corporate performances from the US have been underpinning the nervous economic recovery around the world this year but very poor US unemployment figures on Friday have unsettled global markets, equities in particular.

The jobless numbers declined to 9.1% last month, the highest figure seen this year and coming on top of poor maunfacturing data last week, has magnified  market concerns that a double dip could be on the cards. This makes the prospect of higher rates in the near future, in the US and indeed in the UK, unlikely in the near term.

Here in the Eurozone, the second Greek rescue package in a year is about to be announced, estimated to be around Euros 100 billion and in Portugal the election results coming in now, point towards a coalition government in the next few weeks. However, all parties expected to be involved are for austerity not against it, so this would not have a negative impact, at ths moment.

What economic measures the new Government will take in the next year might though.