Global markets are in turmoil as recession fears trigger the largest drop in history.

“In the past 10 days, global markets have endured their most unsettling rollercoaster ride since the pandemic. On a single day, Japan’s Nikkei stock exchange experienced its largest drop ever, plummeting nearly 4,500 points. This 12.4 percent decline was the steepest since the infamous October 1987 market crash.

Simultaneously, in the US, interest rate futures markets began to anticipate an emergency rate cut between scheduled Federal Reserve meetings as panic gripped investors. The VIX, or volatility index, of the S&P 500 surged to levels only seen twice in its over 30-year history—during the peak of the Global Financial Crisis and the pandemic.

Amid this turbulence in global markets, it’s crucial to examine the factors fueling this volatility and what might lie ahead as a consequence.”