//Gold price hits six-year high as geopolitical crises scare markets – business live

Gold price hits six-year high as geopolitical crises scare markets – business live

Rolling coverage of the latest economic and financial news, as asset prices are hit by Argentina currency crash and Hong Kong protests

Gold hits $1,523 per ounceAsian markets fall

8.15am BST

Stock markets across the Asia-Pacific region have fallen into the red today, as investors ditch shares.

Hong Kong’s Hang Seng fell 2% to its lowest level since January, as the ongoing clashes between protestors and police spooked markets.

Chinese authorities suggested the Hong Kong protests are the “first signs of terrorism”.

Dropping the “T” word is particularly disturbing as it does suggest a more aggressive mainland response, which triggered a wave of risk aversion across global markets.

7.57am BST

Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business.

Investors have a lot to worry about today, with a currency crisis in Argentina, mass demonstrations in Hong Kong, and plenty of signs that the global economy is slowing.

“It is a pretty straight forward case of risk aversion. Crisis in Argentina and political deterioration in Hong Kong; underlying all of this, global growth is slowing.

“Central banks can only do so much because a lot of them are at near record low interest rates. There is not a lot of ammunition to deploy as counter measures to the slowdown in global growth.”

Argentina and several other developing nations have come under growing pressure over their high levels of foreign currency debt. The US dollar has appreciated in value as the US Federal Reserve has lifted interest rates, which has made it more expensive for these countries to repay their dollar-denominated debts.

Macri, the son of a self-made construction tycoon, had made “zero inflation” a campaign pledge before he came to power in 2015. In reality it has soared to more than 50% as the peso has weakened.

Related: Argentinian peso plunges as centre-left win election primary

Related: Hong Kong airport protests: flight chaos as Carrie Lam warns of ‘path of no return’

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Read more: theguardian.com