At lunch today the top story on BBC news was the dramatic drops of global stock markets throughout the morning. All major banks have taken a battering. The FTSE has lost about 3.5% today as I write this, the US markets open shortly and are expected to open deep in to the red.

Is this the start of a recession?

The credit crunch now seems to be really taking its hold, and it may well get worse. Todays further market falls have largely involved the banks, getting mortgages will be harder and borrowing any money from the banks will be harder.

No doubt this will affect how much consumers have to spend, but how much?

From a retailers point of view a recession would be terrible (unless you sell goods people need, not want). The majority of dropshippers sell luxuries, and some of us running a young business won’t have the capital to make it through a recession.

I really hope this isn’t the beginning of a recession for the UK or any other country for that matter. Now is the time for us all to hold our breath and hope, the thought of a recession – no thanks!