Italy turmoil spooks global markets

The collapse of Italy's populist government last week sent Italian bond yields soaring to their highest in over four years, with investors jacking the cost of government borrowing, reports Fortune. The country's political crisis, which saw “the collapse of the incoming populist government before it even took power,” per Fortune, is reigniting debate over whether the eurozone’s third-largest economy should remain in the single currency union.

The concern spread to markets elsewhere, with the Dow Jones industrial average dropping more than 500 points in trading Tuesday as investors sought the relative haven of the U.S. dollar and Japanese yen, The Wall Street Journal says.