Navigation
Suscribe
Menu Search Facebook Twitter
Search Close
Menu ALL SECTIONS
  • Capital Coahuila
  • Capital Hidalgo
  • Capital Jalisco
  • Capital Morelos
  • Capital Oaxaca
  • Capital Puebla
  • Capital Quintana Roo
  • Capital Querétaro
  • Capital Veracruz
  • Capital México
  • Capital Michoacán
  • Capital Mujer
  • Reporte Índigo
  • Estadio Deportes
  • The News
  • Efekto
  • Diario DF
  • Capital Edo. de Méx.
  • Green TV
  • Revista Cambio
Radio Capital
Pirata FM
Capital Máxima
Capital FM
Digital
Prensa
Radio
TV
X
Newsletter
Facebook Twitter
X Welcome! Subscribe to our newsletter and receive news, data, statistical and exclusive promotions for subscribers
Business

Global Stock Markets Slide Ahead of Fed Meeting

Benchmark U.S. crude dropped 66 cents to $48.22 per barrel in electronic trading on the New York Mercantile Exchange

Hong Kong, Monday, June 13, 2016, photo: AP/Vincent Yu
2 years ago

Global stocks fell Tuesday as jittery investors awaited the U.S. Federal Reserve’s decision on interest rates and worried about Britain’s vote on whether to leave the European Union.

KEEPING SCORE: France’s CAC-40 was down 1.3 percent to 4,171 and Germany’s DAX retreated 0.6 percent to 9,599. London’s FTSE 100 declined 1.2 percent to 5,970. In a sign that investors are seeking safe havens, the yield on Germany’s 10-year bond fell below zero for the first time ever. The bond yields, which drop as bond prices rise, are also under pressure from central banks’ ultra-loose monetary policy.

Wall Street looked set for more declines, with futures for the Dow Jones industrial average and the Standard & Poor’s 500 both down 0.1 percent.

FED WATCH: The Fed had been expected to raise interest rates but now appears likely to wait and see how economic changes develop. The central bank’s two-day meeting starts Tuesday, with a decision on interest rates Wednesday. Last month, many investors were betting that the Fed would hike rates, but the most recent monthly U.S. jobs reports were weaker than expected, putting a damper on those expectations.

BREXIT: Stocks are under pressure from uncertainty about whether British voters will choose to leave the European Union in a June 23 referendum. Polls show the vote could go either way and investors are starting to worry about the consequences. A British exit from the EU, known informally as Brexit, would likely hurt the British economy most and destabilize the rest of Europe. The repercussions, however, are not clear and investors are reacting to the general uncertainty over the situation.

Pedestrians look at an electronic stock board showing Japan's Nikkei 225 index at a securities firm in Tokyo Tuesday, June 14, 2016. Asian stock markets mostly lower Tuesday tracking Wall Street's decline, as jittery investors awaited the U.S. Federal Reserve's decision on interest rates and Britain's vote on European Union membership. (AP Photo/Eugene Hoshiko)

Pedestrians look at an electronic stock board showing Japan’s Nikkei 225 index at a securities firm in Tokyo Tuesday, June 14, 2016. Photo: AP/Eugene Hoshiko

CHINA WEAKNESS: Factory output and investment in May were weaker than expected, hurt by slow foreign and domestic demand. Industrial production held steady at 6 percent. Growth in investment in factories and other fixed assets weakened to 9.6 percent in the January-May period from 10.5 percent for the four months through April. “Momentum appears to be stalling after a solid start to 2016,” said Mizuho Bank in a report.

ASIA’S DAY: Japan’s Nikkei 225 index lost 1 percent to 15,859.00 and Sydney’s S&P-ASX 200 lost 2.1 percent to 5,203.30. Seoul’s Kospi retreated 0.4 percent to 1,972.03, Hong Kong’s Hang Seng shed 0.6 percent to 20,387.53 and India’s Sensex lost 0.3 percent to 26,319.00. Benchmarks in New Zealand, Singapore and the Philippines also declined. The Shanghai Composite Index gained 0.3 percent to 2,842.19.

ENERGY: Benchmark U.S. crude dropped 66 cents to $48.22 per barrel in electronic trading on the New York Mercantile Exchange after the International Energy Agency said that prices were unlikely to rise significantly in the future due to large inventories and production increases. Brent crude, used to price international oils, fell 66 cents to $49.69 per barrel in London.

CURRENCY: The dollar declined to 105.87 yen from Monday’s 105.96 yen. The euro edged down to $1.1223 from $1.1293.

Comments Whatsapp Twitter Facebook Share
More From The News
Latest News

Democrat Jones wins stunning red-state A ...

5 days ago
Business

Asian stocks mixed ahead of Fed rate ann ...

5 days ago
Entertainment

NFL Network suspends analysts over sexua ...

5 days ago
Business

Minnesota announces restrictions on usin ...

5 days ago
Most Popular

Energy Secretariat Grants Permissions to ...

By The Associated Press
Business

French PM says Disputed Labour Bill Open ...

By The Associated Press
Business

White House Steps Up Aid for Financially ...

By The Associated Press
Business

WALMEX Sales Grow 15.6 Percent in Februa ...

By Omar Sánchez
Business

Many Experts Skeptical Trump’s Trade Thr ...

By The Associated Press
Business