Markets bomb on talk of US recession

Markets in the US nose-dived on Friday, the 20th anniversary of the Black Monday market crash, with the Dow Jones seeing more than 2.6% wiped off stock and the S&P index losing 2.5% of its value. Caterpillar triggered the fall in prices as it announced cuts to its profit forecast. The firm said the US economy would be close to recession next year and may actually experience a recession. One analyst said the lack of economic data available up until Christmas will mean markets are driven by sentiment, which is becoming increasingly pessimistic. Following the onset of global credit problem...