Fears earlier this week that the word economy was set to plunge back into chaos have been allayed for the time being, as recoveries were made in the European and Asian stock markets.
As reported in the New Statesman yesterday, the European markets have responded positively to US Federal Reserve's announcement of a suspension of interest rates.
The FTSE fared moderately well - up 1.85 per cent - compared to the French and German markets. Société Générale weathered the earlier loss of confidence from traders who wrongly believed the French bank was anticipating a government bailout. In fact, shares were up six per cent - significantly higher than the French average of two per cent.
The slight improvement in Europe indices came as Asian markets recovered some of their earlier losses.
US markets, however, are still suffering in the wake of the US credit downgrade. The Dow Jones is down 4.62 per cent and the Nasdaq down 4.09 per cent.