Wall Street turned red on Tuesday as the International Monetary Fund said the global economy is expected to grow only 3.3% in 2012, compared to the previous estimate of 3.5%. The Dow Jones Industrial Average fell 0.1%, to 13,575.97; the Standard & Poor 500 Index declined 0.15%, to stand at 1,453.69, while Nasdaq 100 futures lost 0.3%, to 3,102.40
On Tuesday, October 9, European stocks extended losses as the International Monetary Fund cut its global growth forecast, and investors are waiting for highly anticipated meeting of EU finance ministers on Thursday. The Stoxx Europe 600 Index erased 0.1% to 271.04. Germany's DAX Index gave up 0.4% to 7,259.27 and France's CAC 40 Index inched lower 0.1% to 3,402.73.
German stocks tumbled on Tuesday on risk-off trade as the EU officials' met in Luxembourg while the IMF lowered its global growth forecast. An uncertainty over Greece and weakness of the US and Japanese shares also weighted down on German equities. The DAX Index declined by 0.40% and is currently trading at 7,262.36. All sectors included in the index plunged.
UK equities were slightly lower amid increased cautiousness as the EU officials met in Luxembourg to discuss spreading debt crisis in the region. Adding pressure on the UK stocks, Dow Jones reported that Greece's creditors have not reached an agreement on how to combat crisis in the country yet. Moreover, manufacturing output in the UK dropped more than expected while
Hong Kong shares rose on Tuesday as market sentiment was boosted by reports that the POBC pumped 265 billion Yuan into money market in an attempt to ease liquidity pressure. Moreover, recent China growth forecast' cut by the World Bank fuelled speculation that the government will embark on additional easing measures to boost growth. The Hang Seng Index gained 0.54%
Japanese equities plunged on Tuesday amid on-going worries over global economic slowdown and concerns that firms will slash profit forecasts. Increased risk-aversion among investors after the IMF cut its global growth forecast sent Japan's shares lower. Meanwhile, market players remained cautious ahead of the EU officials' meeting due later in the week. The Nikkei 225 Index sank 1.06% to close
The Dow Jones Industrial Average Index lost 0.22% to close at 13,583.65 on Monday amid escalated global growth fears after the IMF cut its world's economy growth forecast. Creating notable pressure on the US blue chips, analysts expect companies in the Dow Jones index to post weak profits in Q3. The Q3 earning season will be opened on Tuesday when
Manufacturing production in the U.K. dropped more than initially expected in August, a sign nation's economy may struggle to regain strength, the U.K. Office for National Statistics said on Tuesday. Factory output fell by 1.1%, down from 3.2% gain in July. Analysts had predicted manufacturing output in the U.K. to decline by 0.6%. "Now that stands somewhat in contrast to a story of weak
US stocks closed lower on Monday amid rising concerns that profits may have slid in Q3 as Asian economies are slowing down and EU fiscal problems persist. The World Bank cut its growth estimate for China for this year, citing weak exports and slow investment growth. Adding to the negative mood of risk-sensitive assets, the IMF lowered its global growth
According to the Ministry of Finance, Japan's current account surplus widened in August from the previous year, making the first expansion in a year and a half. The current account surplus was 454.7 billion yen in August, up 4.2% from a year earlier, surpassing economists' expectations of a 423.8 billion yen surplus. Economists expect Japan to continue to have a
Rural commodities were mixed on Monday amid escalated worries that spreading debt crisis in eurozone will dent demand for farm commodities. Broadly stronger US Dollar added pressure on the commodity group. Meanwhile, traders are cautious ahead of the USDA supplies report due on Thursday. Wheat gained for the first time in three sessions on speculation that the USDA may cut global
Energy futures apart from natural gas slumped on Monday amid global growth fears. The World Bank lowered its growth estimate for China for 2012 while the IMF cut global expansion forecast for 2012 and 2013. Crude oil was the worst performer, dipping 0.61% as demand prospects deteriorated after the IMF lowered its global growth outlook. Broadly stronger greenback also pushed
Industrial metals tumbled on Monday amid lingering global growth concerns. The IMF cut its global growth estimates while the Word Bank lowered China's economic expansion forecast and feared that downside risks would persist. Meanwhile, market participants awaited the EU officials meeting due later in the week. Aluminum extended its losses as industrial production in Germany fell 0.5% in August compared to
Precious metals moved lower on Monday amid broadly stronger US Dollar and global economic concerns. The IMF lowered its global growth forecast for 2012 and 2013 to 3.3% and 3.6% from 3.5% and 3.9%, respectively. At the same time, rising unrest in South Africa limited losses of the commodity group. Gold slid on solid greenback. However, growth forecasts' cuts fuelled speculation
According to the International Monetary Fund, the global recovery is slowing as government policies failed to increase confidence. Moreover, the risk of further worsening in the economic outlook is considerable. The IMF cut its projection for global growth to 3.6% in 2013 from its projection of 3.9% in July. The U.K. economic outlook is expected to shrink by 0.4% in
Australia's Dollar rose from the lowest level in three months as European finance ministers announced the aid fund operational as well as gains in commodities increased demand for the Aussie Dollar. Australia's currency rose 0.4% to $ 1.0233 after falling to $1.0149 yesterday, the weakest level since July 13. The Aussie Dollar lost 1.8 last week, the biggest decline since
The Euro stayed lower after a drop yesterday as the IMF revised its forecast for the Euro bloc downward and European officials struggle to tame the Eurozone's debt crisis. The 17-nation currency traded at $1.2984 after falling 0.6% yesterday to $1.2968. The Euro bought 101.81 Yen after a 1% decline. The region's economy will grow 0.2% in 2013, down from
According to the International Monetary Fund, Indian economic growth is likely to weaken this year to the lowest level in a decade after investment decreased. The IMF urged India's government to keep its interest rates unchanged until country's high inflation rate eases. The GDP will increase 4.9% in 2012, less than a forecast of 6.1% in July.
Wall Street turned red on Monday as investors are worried about Europe's debt crisis amid a gathering of eurozone finance ministers. The Dow Jones Industrial Average fell 0.2%, to 13,578.02; the Standard & Poor 500 Index declined 0.4%, to stand at 1,454.55, while Nasdaq 100 futures lost 0.8%, to 3,111.61.
On Monday, October 8, European stocks extended losses as investors are cautious about global growth and are waiting for the eurozone finance ministers meeting later this week. The Stoxx Europe 600 Index erased 0.98 per cent to 271.43. Germany's DAX Index inched lower 1.44 per cent to 7,291.21 and France's CAC 40 Index lost 1.46 per cent to 3,406.53.
German industrial output fell as consumption and demand weakened, adding to concerns that the country was hit by the global economic slowdown. The Federal Statistical Office (Destatis) said on Monday that nation's industrial production contracted by 0.5% after jumping 1.2% in July. Analysts had predicted German industrial production to decline by -0.8% in August.
German shares started the week on the negative note amid increased cautiousness in the market ahead of the EU finance ministers' meeting due later in the day. Disappointing news from Asia also weighted down on German stocks. The World Bank downgraded its growth forecast for China, citing weak exports and slowing investment growth. However, smaller than expected fall in the
UK equities slumped on Monday amid persistent concerns over debt pressure in Spain and Greece ahead of the key meeting between European finance ministers due later in the day. Adding to the risk-aversion among investors, the Word Bank lowered its growth forecast for China for this year. The FTSE 100 index dropped 0.63% and is currently trading at 5,834.11. All
Hong Kong shares retreated on Monday on escalated worries that the national economy is slowing down. The World Bank cut its growth forecast for China, citing soft exports and weak growth in investments. The bank predicts the country's economy to grow by 7.7% in 2012 compared to a previous forecast of a 8.2% expansion. The Hang Seng Index lost 0.89%