European stocks sink after Fed and Reddit drive Wall Street sell-off

People enter a GameStop store in Alhambra, California on January 27, 2021. - An epic battle is unfolding on Wall Street, with a cast of characters clashing over the fate of GameStop, a struggling chain of video game retail stores. Traders have been astounded in recent days by the surge in struggling video game retailer GameStop's share price, after a group of amateur investors banded together over the online platform Reddit to fight the Wall Street funds that had pushed its price lower. (Photo by Frederic J. BROWN / AFP) (Photo by FREDERIC J. BROWN/AFP via Getty Images)
People enter a GameStop store in Alhambra, California on January 27, 2021. Photo: FREDERIC J. BROWN/AFP via Getty Images

European stock markets opened lower on Thursday, as a sell-off on Wall Street overnight prompted weakness in equity markets globally.

The Dow Jones (^DJI) closed down 2% on Wednesday, its biggest one-day fall since October. The slump came after a downbeat assessment of the economy from the US Federal Reserve and amid a highly unusual battle between retail investors and hedge…


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