Asian markets went down today amid reports that a federal reserve official stated that the interest rate for the dollar will be raised by march. Though this makes dollar denominated assets more appealing, it also worries investors who feel that equities are reliant on low borrowing costs. Furthermore, consumption becomes less appealing as the interest rate rises, and Asian firms are heavily reliant on the US consumer market for a good portion of their business. Not surprisingly, the Nikkei closed down 1.39%, the Shanghai composite closed down 0.11%, and the ASX 200 closed down 0.35%.
European markets are mixed despite better than expected US consumer confidence data. Bullish news from the states has only reinforced worries that the Federal reserve will raise the interest rate earlier than expected. Consequently, European indices are heading for their biggest losses since April, with the Stoxx 50 down 0.33%, the FTSE down 0.21%, and the DAX down 0.09%.
American markets are in the red for the most part as well. Investors have mostly shrugged off good consumer confidence data while paying close attention to bad private sector reports. DuPont lead losses today as it trimmed its profit forcast. So far, indices are continuing their downward trajectory, with the Dow down 0.09%, the S&P down 0.08%, and the Nasdaq up 0.04%.
June 27, 2014 – Indices News
Asian markets went down today amid reports that a federal reserve official stated that the interest rate for the dollar will be raised by march. Though this makes dollar denominated assets more appealing, it also worries investors who feel that equities are reliant on low borrowing costs. Furthermore, consumption becomes less appealing as the interest rate rises, and Asian firms are heavily reliant on the US consumer market for a good portion of their business. Not surprisingly, the Nikkei closed down 1.39%, the Shanghai composite closed down 0.11%, and the ASX 200 closed down 0.35%.
European markets are mixed despite better than expected US consumer confidence data. Bullish news from the states has only reinforced worries that the Federal reserve will raise the interest rate earlier than expected. Consequently, European indices are heading for their biggest losses since April, with the Stoxx 50 down 0.33%, the FTSE down 0.21%, and the DAX down 0.09%.
American markets are in the red for the most part as well. Investors have mostly shrugged off good consumer confidence data while paying close attention to bad private sector reports. DuPont lead losses today as it trimmed its profit forcast. So far, indices are continuing their downward trajectory, with the Dow down 0.09%, the S&P down 0.08%, and the Nasdaq up 0.04%.
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