Slump fears hit markets

The global financial crisis shifted gears yesterday with fears of recession battering financial markets even as governments sought yet more action to pull the world economy from the brink of collapse.

European Union leaders, meeting in Brussels, were to call for action to combat economic decline, including support for industry, according to a summit draft obtained by Reuters.

Switzerland's two largest banks - UBS and Credit Suisse - became the latest to say they were receiving emergency funding as the country's government and other investors moved to shore them up.