Markets slide on Trump and terror concerns – business live

European markets open lower after Wall Street suffers second biggest drop of the year, with airline shares among biggest fallers

More to watch out for next week – events at the Bank of England:

Busy week at the @bankofengland next week pic.twitter.com/dLC2r1FBT3

One of the other factors relating to investors’ concerns about the Trump presidency is talk that (another) key advisor may leave. Craig Erlam , senior market analyst at Oanda, explains:

Trump has been no stranger to controversy in his short time as President but the latest entirely unnecessary and avoidable situation could prove quite costly for him. Trump has already this week been forced to dissolve his manufacturing council and the strategic and policy forum, while his infrastructure council never even got off the ground, after numerous CEO’s withdrew from the initiatives due to his response to the white supremacy rally in Charlottesville, Virginia, last weekend.

The next casualty could be the most costly of the lot, with speculation growing that Gary Cohn – a key figurehead in Trump’s tax reform and spending initiatives – could resign from his position as National Economic Council Director. This would be a bitter blow for Trump and be the icing on the cake of what has been a dreadful week for the President. The negativity is flowing through to the markets as well as such a move would cast doubt over whether Trump will deliver on his tax reform and spending promises in the foreseeable future, two things that have been at least partly responsible for the post-election rally in the markets.

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