Stock markets

The very high government deficits and debt levels in several high-income countries (notably Greece, Ireland, Italy, Portugal and Spain) have provoked a great deal of volatility in international financial markets. This has been particularly evident in a generalized decline in stock-market valuations, with global equity markets loosing between 8 percent and 17 percent in May, with losses generally larger in high-income Europe and developing Europe than in markets further removed from Greece.