Asian markets have fallen today for the second day in a row – posting the largest decline in two months. The main source of poor performance in the far east has been Chinese CPI and PPI results that missed estimates. Given that prices grew by less than analysts expected, many investors feel that the demand that fuels growth in the Chinese economy may be falling, and consequently they are hesitant to invest further. Furthermore, as China’s consumes lots of raw materials from the rest of Asia, market performance around the pacific rim was also bearish. The Nikkei closed down 0.08%, the Hang Seng closed down 1.55%, and the ASX 200 closed down 1.06%.
European markets are also declining somewhat today on bad Chinese data. English markets specifically are suffering from worse than expected Halifax Home Price data. Also there is some downward pressure ahead of the FOMC meeting minutes as some investors are worried the Fed may decide to increase the interest rate sooner than expected. Should the Fed stick to its original plan of keeping the interest rate low for a while, then equities may bounce back. In the meantime, the Stoxx 50 is up 0.07%, the FTSE is down 0.56%, and the DAX is down 0.06%.
American markets have not opened yet, but equity futures are for the most part unchanged ahead of the FOMC meeting minutes. Yesterday, however, American markets went down as a result of pre-FOMC jitters despite better than expected Job openings data and strong performance from large companies like Alcoa. Today, we may continue to see some caution as many market participants are also awaiting corporate earnings data coming out next week. Yesterday, the Dow closed down 0.69%, the S&P closed down 0.70%, and the Nasdaq closed down 1.35%.
July 9, 2014 – Indices News
Asian markets have fallen today for the second day in a row – posting the largest decline in two months. The main source of poor performance in the far east has been Chinese CPI and PPI results that missed estimates. Given that prices grew by less than analysts expected, many investors feel that the demand that fuels growth in the Chinese economy may be falling, and consequently they are hesitant to invest further. Furthermore, as China’s consumes lots of raw materials from the rest of Asia, market performance around the pacific rim was also bearish. The Nikkei closed down 0.08%, the Hang Seng closed down 1.55%, and the ASX 200 closed down 1.06%.
European markets are also declining somewhat today on bad Chinese data. English markets specifically are suffering from worse than expected Halifax Home Price data. Also there is some downward pressure ahead of the FOMC meeting minutes as some investors are worried the Fed may decide to increase the interest rate sooner than expected. Should the Fed stick to its original plan of keeping the interest rate low for a while, then equities may bounce back. In the meantime, the Stoxx 50 is up 0.07%, the FTSE is down 0.56%, and the DAX is down 0.06%.
American markets have not opened yet, but equity futures are for the most part unchanged ahead of the FOMC meeting minutes. Yesterday, however, American markets went down as a result of pre-FOMC jitters despite better than expected Job openings data and strong performance from large companies like Alcoa. Today, we may continue to see some caution as many market participants are also awaiting corporate earnings data coming out next week. Yesterday, the Dow closed down 0.69%, the S&P closed down 0.70%, and the Nasdaq closed down 1.35%.
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