‘Tsunami of woe' hits markets

 Queues of job-seekers in Portsmouth ? but a lack of jobs is a global concern

DOUBTS over the eurozone rescue deal and wider fears for the world economy added up to a tsunami of bad news hitting market confidence, analysts said yesterday.

Stock exchanges fell around the world. Traders were spooked by reports that China may not invest as much money in the eurozone?s new ?877billion bailout fund as hoped, putting the whole package at risk.

The Organisation for Economic Cooperation and Development (OECD) thinktank warned of a ?marked slowdown? in eurozone economies next year and also slashed its US growth forecasts.

It said the eurozone rescue plan must be put into effect ?promptly and forcefully? and G20 leaders meeting in Cannes this week must take ?bold decisions? to stave off another European recession.

The UN International Labour Organisation warned that weak growth suggested only half the 80 million new jobs needed over the next two years to get back to pre-crisis levels would be created.

Fears of fresh financial sector chaos grew as international broker MF Global sought a buyer amid concern it will be sunk by its exposure to eurozone debts.