Netflix Shares Fall After Epix Decision, Dow and S&P Both Start September With a Drop
September 2, 2015 6:48 am
The United States yesterday saw the ISM Manufacturing PMI come out at 51.1, lower than the previous result of 52.7. This, combined with poor manufacturing data out of both China and Europe, led to another day of indices in the red. The Dow and S&P both closed down by almost 3%, with the Dow dropping back towards the 16k level whilst the S&P is around the 1913 level. Both indices are still above the 10-month lows hit a week ago. Overnight in Asian markets shares fell yet again after unassuaged worries concerning a global growth slowdown. the Chinese Manufacturing PMI announced at 49.7 yesterday, remaining under the growth indicator of 50.0. However, the silver lining, if one can call it that, is that the Shanghai Composite rate of fall was significantly reduced, with the index closing down by just 0.2%.
In the currency markets, Dollar/Yen held 0.5% to 120.01, having dropped over 1% overnight. It is currently trading away from last week’s high of 121.76. EUR/USD dropped 0.3% to reach $1.1284.
In commodities, West Texas Intermediate crude was down 2.4% to $44.32 per barrel. Brent Crude was trading down 2.1% at $48.51 a barrel. Early morning trading has Gold trading at $1141.0 per ounce.
Over in the US, Netflix’s decision not to renew a deal with film distributors Epix means that users worldwide will no longer have access to a range of titles, including the blockbuster Hunger Games and Transformers franchises. The biggest losers will be US customers, who will lose access to thousands of movies; if they want them, they’ll have to relocate to one of Netflix’s rivals; Hulu. The markets informed Netflix in no uncertain terms what they thought of the company’s decision; Netflix stock closed down by more than 8% yesterday.
The United States yesterday saw the ISM Manufacturing PMI come out at 51.1, lower than the previous result of 52.7. This, combined with poor manufacturing data out of both China and Europe, led to another day of indices in the red. The Dow and S&P both closed down by almost 3%, with the Dow dropping back towards the 16k level whilst the S&P is around the 1913 level. Both indices are still above the 10-month lows hit a week ago. Overnight in Asian markets shares fell yet again after unassuaged worries concerning a global growth slowdown. the Chinese Manufacturing PMI announced at 49.7 yesterday, remaining under the growth indicator of 50.0. However, the silver lining, if one can call it that, is that the Shanghai Composite rate of fall was significantly reduced, with the index closing down by just 0.2%.
In the currency markets, Dollar/Yen held 0.5% to 120.01, having dropped over 1% overnight. It is currently trading away from last week’s high of 121.76. EUR/USD dropped 0.3% to reach $1.1284.
In commodities, West Texas Intermediate crude was down 2.4% to $44.32 per barrel. Brent Crude was trading down 2.1% at $48.51 a barrel. Early morning trading has Gold trading at $1141.0 per ounce.
Over in the US, Netflix’s decision not to renew a deal with film distributors Epix means that users worldwide will no longer have access to a range of titles, including the blockbuster Hunger Games and Transformers franchises. The biggest losers will be US customers, who will lose access to thousands of movies; if they want them, they’ll have to relocate to one of Netflix’s rivals; Hulu. The markets informed Netflix in no uncertain terms what they thought of the company’s decision; Netflix stock closed down by more than 8% yesterday.
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