EU crisis revives memories of ’08 crash
May 10
2010
Just as the U.S. economic recovery was starting to gather momentum and create an impressive number of jobs, a new threat emerged last week with the European debt crisis exploding onto U.S. markets. The stock market’s wild gyrations, while abetted by little-understood technical and trading irregularities, were eerily reminiscent of the turmoil in the fall of 2008 when a credit crisis spawned by the collapse of Lehman Brothers for a time brought down the whole global financial system and economy. Despite last week’s tremors, economists do not expect such a drastic, cascading response to the spreading debt crisis in Europe. …
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