Skip to main content

Market update

US markets are closed today, due to the Martin Luther King holiday, but I thought we'd do a bit of an international market news update and stay up to date.

Though US stocks are not trading this Monday, there seems to be enough bad news hanging over the US stock market and economy to help drive international share markets lower today.

A quick review of the news shows one downbeat headline after another and poor market performance all around. The news from Australia, Japan, the UK, and Europe shares one main theme: worries over the state of the American economy.

Here is a selection of quotes from the articles linked above.

From, "European stocks down 5.8 percent...":

European shares fell nearly 6 percent on Monday, their biggest one-day slide since the Sept. 11, 2001 attacks, as fears of a U.S. recession and more write downs in the financial sector sparked a broad-based selloff.

"This is like a panic. It's like out, out, out (of stocks). Run for cover," said Dirk Mueller, a trader at Frankfurt brokerage ICF.

"There is a very ugly sense of capitulation and the worst thing is that we can't see where it will all end," said Javier Galan, fund manager at Spanish brokerage Renta 4.

From, "Footsie's biggest ever one-day points fall":

The FTSE 100 has marked its biggest ever one-day fall - in nominal terms at least.

Outstripping the points losses of Black Monday and September 11, 2001, the index has ended down 323.5 points, or 5.5%, at 5578.2. In percentage terms it has not quite matched the day of the US terror attacks, when the FTSE 100 slumped 5.7%.

From, "Japan stocks fall to 2-year low on local, US slowdown conern":

Japanese stocks fell to a two-year low on concern the world's two largest economies are slowing.

``The Japanese economy has been weakening and a lot of economists had been overly optimistic,'' said Soichiro Monji, who helps oversee $47 billion at Daiwa SB Investments Ltd. in Tokyo. ``The negative news is reminding investors of the instability of U.S. financial institutions and the economy.''

And in Australia, "Dear, oh dear...":

THE sharemarket took a another bath yesterday, for the 11th day in a row, a rout that is now assuming bloodbath proportions.

The ASX 200 index closed 166.9 points, or 2.9 per cent, lower at 5580.4, and the All Ordinaries fell 168.5, to 5630.9

A Macquarie Equities private client adviser, Marcus Droga, said there was still a strong sense of concern among investors.

"It's all running off the back of the US situation, the rescue package announced [by US President George Bush], and overriding concern over whether or not they are slipping into recession."

So as you can see, the recent bearish action in the US markets has now spread worldwide, at least for the time being.

What lies ahead for US and global stock markets? We'll try and examine that question further later on this week. Till then, have a good day (and don't panic!).

Popular posts from this blog

New! Finance Trends now at

Update for our readers: Finance Trends has a new URL!  Please bookmark our new web address at Readers sticking with RSS updates should point your feed readers to our new Finance Trends feedburner .   Thank you to all of our loyal readers who have been with us since the early days. Exciting stuff to come in the weeks ahead! As a quick reminder, you can subscribe to our free email list to receive the Finance Trends Newsletter . You'll receive email updates about once every 4-8 weeks (about 2-3 times per quarter).  Stay up to date with our real-time insights and updates on Twitter .

Moneyball: How the Red Sox Win Championships

Welcome, readers . T o get the first look at brand new posts (like the following piece) and to receive our exclusive email list updates, please subscribe to the Finance Trends Newsletter .   The Boston Red Sox won their fourth World Series title of t he 21st century this we ek. Having won their first Se ries in 86 years back in 200 4, the last decade-plus has marked a very strong return to form for one of baseball's oldest big league clubs. So how did they do it? Quick background: in late 2002, team own er and hedge fund manager, John W. Henry (with his partners ) bought the Boston Red Sox and its historic Fenway Park for a reported sum of $ 695 million. Henry and Co. quickly set out to find their ideal General Manager (GM) to help turn around their newly acquired, ailing ship. This brings us to one of my fav orite scenes from the 2011 film , Moneyball , in which John W. Henry (played by Ar liss Howard) attempts to woo Oakland A's GM Billy Beane (Brad Pi


Tonight's jukebox is a blast back to the mid-1980's with a live in studio performance by New Order for BBC Radio 1. There are some very noticeable flubs in their performance (I think Bernard may have been feeling a little "rushed"), but the songs are amazing and it's like being an eyewitness to a studio rehearsal. An excellent video snapshot of one of the most inventive modern pop groups doing their thing. Enjoy, and thanks Adz! New Order, live 1984: "Sooner Than You Think" , "Age of Consent" , "Blue Monday" , "In a Lonely Place" , "Temptation" .