Free-fall in Madrid

The Spanish benchmark index IBEX-35 briefly fell below 13,000 points yesterday for the first time in 15 months as the market went into free-fall.



The rest of the European stock markets followed the same trend, "bear market". Not only the european stocks are being affected by the threaten of a global financial crisis but also the rest of the world´s economies. In fact, Asian equities tumbled by the most since 1990 today.



The big question now is whether these brutal corrections in the market will turn into a global economic contraction.



Euro-area finance ministers are positive about the UE financial situation, meanwhile, some analysts are more pessimistic about the it as they think share markets are bringing forward something really worrying.



But something we should sticked in mind is that on the stock market one must look at long-term trends instead of at short-term ones, as it could make worse the actual situation.