The markets are heading for a liquidity crisis of a scale similar to 2008 - but this time its characteristics could be very different, according to Anthony Peters, who has worked in the bond markets for 30 years and who thinks the outcome of the latest turmoil could potentially be more devastating than three years ago.

A Catch 22 is emerging, where bearish investors are reluctant to bid for assets because they believe that prices will get cheaper still, freezing up the marketplace, he wrote in his daily newsletter this morning. Peters is a strategist at independent adviser SwissInvest.