BANGKOK—Shares skidded in Europe and Asia on Thursday after a retreat on Wall Street by investors dismayed over the Federal Reserve’s warning that still more interest rate hikes are in store following its latest increase.
Oil prices fell and U.S. futures also dropped.
The declines followed the U.S. Federal Reserve’s hike in its key short-term rate by half a percentage point, the seventh increase this year. The Bank of England and European Central Bank were expected to follow suit Thursday with increases of their own.
The U.S. was due to release Thursday its weekly report on unemployment benefits, along with retail sales data for November—U.S. consumer spending and employment remain strong, hindering the Fed’s fight against inflation, but helping protect the slowing economy from a possible recession….