08.08.2011 08.Aw-Elul, 5771
The Tel Aviv Stock Exchange benchmark TA-100 index is 16% below its peak level from January.
Stock markets went into a tailspin last week, which only intensified after the drama of raising the United States debt ceiling ended. The compromise between Democrats and Republicans concerning the latter brought the message home to investors: The government's debt remains as high as ever and will likely grow. Disappointing U.S. and Europe economic indicators published during the week fueled anxiety, and within four trading days leading stock markets shed 7% to 10% of their value. The dismal week was capped Friday night with Standard & Poor's downgrading of the U.S. credit rating from AAA to AA +.
Joining the trend, the Tel Aviv Stock Exchange benchmark TA-100 index fell 9% over the last 10 days and is 16% below its peak level from January….