US shares retreat overnight as volatility hits two-year high

Shares on Wall Street have recorded the worst three-day streak since 2011 after another sharp move lower overnight, with investors continuing to fret over the end of the US Federal Reserve's bond buying programme.

With the Fed poised to stop purchases at the end of this month, markets are seeing huge increases in volatility as the era of money printing which has propped up markets for so long finally gets removed. While the removal of stimulus signals the US economy has healed to some extent, investors remain unconvinced the strength of that recovery is enough to keep share prices at these levels.  As a result, traders used the impending removal of QE to sell shares once again, with US stocks sliding last night. The S&P 500 closed down 1.7%, taking one month losses to around 7.5%, while the ...