UK Markets Have Lost $500 Billion Since Truss Took Over (1)

The UK’s stock and bond markets have lost at least $500 billion in combined value since <-bsp-person state="{"_id":"00000183-7ed7-db80-a39b-7fdfe3b80000","_type":"00000160-6f41-dae1-adf0-6ff519590003"}">Liz Truss took over as Prime Minister, with investor confidence shattered by a shock tax-cutting budget.

Taking the helm at a time when the UK economy was already grappling with the specter of recession, the Truss government’s new fiscal policies fueled concerns that inflation and borrowing would surge at a time of rapidly rising interest rates. That triggered a cross-asset selloff so <-bsp-bb-link state="{"bbDocId":"RITH9XDWRGG0","_id":"00000183-7ed7-db80-a39b-7fdfe3b90000","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">severe that it sent the pound to a record low and sparked chatter about <-bsp-bb-link state="{"bbDocId":"RITFRBDWLU68","_id":"00000183-7ed7-db80-a39b-7fdfe3b90001","_type":"0000016b-944a-dc2b-ab6b-d57ba1cc0000"}">emergency action by the Bank of England.

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