Asian markets went down today as investors contemplated the possible results from the FOMC statement coming out later today along with potential troubles in China. At the moment, many are worried that the real estate market in China is under stress from being over leveraged, causing traders to be a little pessimistic. This is exacerbated by the the prospect of further tapering in the US, which could reduce demand for Asian goods as less cash enters the US financial system. All in all, indices were mixed, as the Nikkei closed up 0.36%, the Hang Seng closed down 0.07%, and the ASX 200 closed up 0.21%.
European markets are slightly down leading up to the FOMC statement and Janet Yellen’s speech later today. Most analysts are in agreement that tapering will continue, and consequently there is not a lot of optimism in markets. Generally, traders worry that a reduction in the money supply will reduce stock performance globally as less money enters the financial system. At the moment, the Stoxx 50 is down 0.02%, the FTSE is down 0.52%, and the CAC is down 0.26%.
American markets are fluctuating as the interests rate decision and the FOMC statement are poised to come out soon. Until then, US indices are not likely to move tremendously as everyone is waiting for the big news at 18:000 GMT. How the decision will affect markets is not clear, as investors could take a decision to taper as a sign of confidence in the US economy and equities could rise. On the other hand, indices could behave as expected and fall after a tapering announcement due to worries about reduced aggregate demand. For now, the Dow is down 0.03%, the S&P is unchanged, and the Nasdaq 0.09%.
March 19, 2014 – Indices News
Asian markets went down today as investors contemplated the possible results from the FOMC statement coming out later today along with potential troubles in China. At the moment, many are worried that the real estate market in China is under stress from being over leveraged, causing traders to be a little pessimistic. This is exacerbated by the the prospect of further tapering in the US, which could reduce demand for Asian goods as less cash enters the US financial system. All in all, indices were mixed, as the Nikkei closed up 0.36%, the Hang Seng closed down 0.07%, and the ASX 200 closed up 0.21%.
European markets are slightly down leading up to the FOMC statement and Janet Yellen’s speech later today. Most analysts are in agreement that tapering will continue, and consequently there is not a lot of optimism in markets. Generally, traders worry that a reduction in the money supply will reduce stock performance globally as less money enters the financial system. At the moment, the Stoxx 50 is down 0.02%, the FTSE is down 0.52%, and the CAC is down 0.26%.
American markets are fluctuating as the interests rate decision and the FOMC statement are poised to come out soon. Until then, US indices are not likely to move tremendously as everyone is waiting for the big news at 18:000 GMT. How the decision will affect markets is not clear, as investors could take a decision to taper as a sign of confidence in the US economy and equities could rise. On the other hand, indices could behave as expected and fall after a tapering announcement due to worries about reduced aggregate demand. For now, the Dow is down 0.03%, the S&P is unchanged, and the Nasdaq 0.09%.
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