Stocks have had another bout of vertigo. America’s S&P 500 fell by 2% last week. Britain’s FTSE 100 lost almost 3%, its worst week in nine months. Traditional safe havens, such as government bonds and gold, strengthened. The latter has hit a six-month high above $1,380 an ounce.
Concerns for rattled investors include China’s slowdown, the Crimean stand-off and the prospect of tighter US monetary policy. The main problem, however, is that markets look expensive, which makes them vulnerable to any sort of bad news.
After a five-year bull run, America’s [...]
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