Stocks and oil tumble as recession fears mount

World stock markets and oil prices hit the skids on Wednesday as the persistent palpitations about rising interest rates

and recessions struck again, while the Japanese yen hit a fresh 24-year low against a seemingly unstoppable U.S. dollar.

The enthusiasm that had given Wall Street its best day in a month on Tuesday was suddenly gone as Europe suffered a 1.5% morning drop..

and Brent crude prices plunged 4% following what had also been a downbeat Asian session.

Fired-up dollar bulls weren't taking any prisoners in the FX markets either on bets that the head of the Federal Reserve..

Jay Powell, will reiterate to Washington later the need to jack up U.S. rates hard and fast.

As well as pounding the yen down again, it knocked the euro back 0.3%, Norway's oil-sensitive crown 1.3% and Britain's pound 0.7% as data confirmed inflation there is now running at a 40-year high of 9.1%.

"It is remarkable how quickly the market has turned again after that little squeeze up in sentiment yesterday," said Saxo Bank FX strategist John Hardy.

"The commodity market seems to be calling a (global) recession," he added. "And the dollar is pivoting to strength as a safe-haven".

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