World equity markets fell around 20% this week.
In the first few minutes of trading the Dow plunged 700 points. After 45 minutes, most of the losses were regained and then it fell more than 400 points again.
By the end of the week, London markets fell 21.1%, Tokyo fell 24.3% and New York 18%. FTSE closed at a 5 1/2 year low of 3932, the week was the second worst in FTSE's history.
In India, credit default swaps on ICICI bank (India's second largest lender) topped 1000 basis points (trading upfront). According to markit, funding rumours led depositors to withdraw cash. What does this mean? It means it costs $1m to protect a $10m investment in the bank's notes.
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