Continued fears over global growth as major indices are down & AbbVie takeover looks unlikely
October 16, 2014 7:21 am
Fears over global growth continued to weigh down indices with the SP500 and Nasdaq briefly being pushed into negative territory for the year. At one point the Dow was down over 300 points but managed to pull back to close 173 points down at 16141. The Nikkei also fell 2.2% to four and half month lows closing 335 points lower at 14738. The dollar managed to take back some lost ground against the yen adding about 0.3% on the day to 106.20, after dropping to more than a one month low on Wednesday. The euro also hit its highest level since last month rising as high as $1.2885 overnight. Sensitive to potential changes in global demand the Australian dollar slipped 0.4% to $0.8797. Gold held firm at $1239 an ounce, just off a one month high of $1249 seen yesterday. London copper in the previous session had its biggest daily drop since March but managed to add 0.3% trading around $6656 a metric ton. US Crude continued to slide trading around $80 dollars a barrel. In the equity space Shire Pharmaceuticals is trading 10% lower after the US drug maker AbbVie recommended that its shareholders vote against the $54b takeover, making a potential deal look unlikely. Today see’s the release Euro zone CPI at 10am with the figure looking to come in slightly worse than last time, 0.3% expected vs. 0.4% previous. Another sign of slowdown in Euro zone growth. Today also sees US Jobless Claims at 1.30, the figure is 290k expected vs. 287k previous. At 3pm the Philadelphia Fed business Survey is released with the figure expected to be 20 vs. 22.5 previous.
Fears over global growth continued to weigh down indices with the SP500 and Nasdaq briefly being pushed into negative territory for the year. At one point the Dow was down over 300 points but managed to pull back to close 173 points down at 16141. The Nikkei also fell 2.2% to four and half month lows closing 335 points lower at 14738.
The dollar managed to take back some lost ground against the yen adding about 0.3% on the day to 106.20, after dropping to more than a one month low on Wednesday. The euro also hit its highest level since last month rising as high as $1.2885 overnight. Sensitive to potential changes in global demand the Australian dollar slipped 0.4% to $0.8797.
Gold held firm at $1239 an ounce, just off a one month high of $1249 seen yesterday. London copper in the previous session had its biggest daily drop since March but managed to add 0.3% trading around $6656 a metric ton. US Crude continued to slide trading around $80 dollars a barrel.
In the equity space Shire Pharmaceuticals is trading 10% lower after the US drug maker AbbVie recommended that its shareholders vote against the $54b takeover, making a potential deal look unlikely.
Today see’s the release Euro zone CPI at 10am with the figure looking to come in slightly worse than last time, 0.3% expected vs. 0.4% previous. Another sign of slowdown in Euro zone growth. Today also sees US Jobless Claims at 1.30, the figure is 290k expected vs. 287k previous. At 3pm the Philadelphia Fed business Survey is released with the figure expected to be 20 vs. 22.5 previous.
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