Many stock markets around the world posted strong gains Tuesday as
Americans headed to the polls to choose a new president for the world's
U.S. share prices gained as much as four
percent, European indexes rose as much as five percent, and key Asian
markets also moved higher.
The gains come as a key measure of
banks' willingness to lend to each other improved again. Before recent
declines in the "Libor" interest rate, international credit markets had
been stalled, making the economic crisis worse.
began flowing as governments around the world offered trillions of
dollars in emergency aid to financial institutions and cut interest
rates in a bid to restore bankers' confidence. Australia cut its key
interest rate today and the European Central Bank and the Bank of
England are widely expected to slash rates on Thursday.
that news may be tempered by a new United Nations' report that says the
financial crisis has spread to international trade, hitting developing
nations that export commodities particularly hard.
report says a key measure of demand for trade, which tracks shipping
costs, has fallen dramatically over the past few months.