The shutdown of U.S government has traumatized the entire stock market around the world. Without the capability to default the debt, U.S government is attempting to do a test vote on setting a debt ceiling in order to prevent excessive borrowing for U.S. If the government had announced the default, then there would  be a significant decline in economy and increase in interest rate on the next loan. Majority of the investors cease to invest as they are fear the money will not be invested into charity box instead of profit box. Many industry fear the damage to economy from this shutdown will worse than 2008 recession, which increase the unemployment rate and bankruptcy. Some banks, such as Banca Monte dei Paschi di Siena Sp, plans to deduct 3600 jobs in order to receive 4.1 billion euro assistance from the European Union. Japanese currency, yen, has greatly influenced by the shutdown. This caused their value to fluctuate negatively 96.57 per dollar, and the exchange rate is nine months low. The chain reaction that caused by U.S. has become a devastation.

For more information, click here