US stocks tumble after IMF downgrades global growth

Markets in the US fell overnight, after the International Monetary Fund (IMF) cut its forecast for global growth for the next two years.

The IMF said it now expects global growth of 3.3% this year, down from the 3.4% it predicted in July, while next year's forecast was cut to 3.8%, from 4%. In particular, it expects the eurozone to see meagre growth of 0.8% this year and 1.3% next year, with some 40% chance it will fall into another recession. Its forecasts for Russia, Middle East and Japan are no more optimistic, with outlooks for each of these regions downgraded sharply. The downgrades across Europe and parts of Asia caused a sell-off in the US overnight; the S&P 500 closed down 1.5%, while the Dow Jones and Nasda...