Arab Today, arab today european stocks slip as investors ponder china us rates
Last Updated : GMT 17:13:30
Arab Today, arab today
Arab Today, arab today

European stocks slip as investors ponder China, US rates

Arab Today, arab today

Arab Today, arab today European stocks slip as investors ponder China, US rates

European stocks
Paris - AFP

Europe's main stock markets dipped Monday as investors still rattled by last week's turmoil ponder China's slowing economy and potential US interest rate moves.

The CAC 40 in Paris slipped 0.52 percent to 4,650.90 points in early afternoon trades, and Frankfurt's DAX 30 lost 0.67 percent to 10,229.60 points compared with Friday's close.

London's stock exchange was closed for a national holiday.

Global equities were hammered last week as risk-averse investors dumped shares on spreading panic that the flagging Chinese economy -- the world's second largest -- could spark a new worldwide recession.

Markets took much of that back in late-week gains on encouraging US economic news.

But lingering concerns about China and comments over the weekend by US Federal Reserve officials that the severe market turbulence caused by Chinese slowing could affect a rate rise in September, analysts said.

"The change in the circumstances which began with the Chinese devaluation is relatively new and we are still watching how it unfolds. So I wouldn't want to go ahead and decide right now," Fed vice chairman Stanley Fischer told CNBC over the weekend.

Interpretation of Fischer's comments varied greatly, as markets and analysts alike looked for visibility on both the timing and likely consequences of an increase of US rates from their historic low levels.

"Despite the recent market turbulence, it would appear that an interest rate increase in September still remains on the cards. It continues to depend on the strength of incoming economic data, of which the (US) employment report at the end of this week is the most important," said Juliet Tennent, an economist with brokerage Goodbody of an official jobs report due on Friday.

But financial services company Cantor Fitzgerald in a note Insisted "a move in September is firmly off the table given recent volatility and (we) believe December at the very earliest is more likely at present."

"The markets are waking up to the reality that there is no clear direction being set by the bankers or the Fed.  After all the talk the market is still uncertain about September’s meeting," added Nour Al-Hammoury, chief market strategist at ADS Securities.

- 'Need a reason to panic' -

The issue of the rate rise is of importance to markets beyond what the move would say about the improving US economy.

The historically low US interest rates of recent years have fuelled investment in global stock markets because they have made it cheap to borrow money for speculation.

A rise would likely tamp down that appetite, and continue fuelling investment out of slowing emerging economies and back into dollar-denominated US options yielding higher returns.

The continuing suspense over rates helped lift the euro to $1.1204 on Monday from $1.1188 late Friday.

Asian markets were mostly dragged lower Monday by Shanghai resuming last week's decline to finish down by 0.82 percent. Tokyo stocks fell 1.28 percent while Sydney lost 1.07 percent.

European indices followed that nervous lead .

"Markets have opened the week on a fairly bearish note, with China seemingly at the heart of the concern again," said IG Markets chief market strategist Chris Weston, who also pointed to Fischer's comments for the jitters.

"Have markets opened on a negative footing because he caused another twist in the 'will they hike in September' question?...  It seems like we simply need a reason to panic these days."

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today european stocks slip as investors ponder china us rates Arab Today, arab today european stocks slip as investors ponder china us rates

 



Arab Today, arab today
Arab Today, arab today Mohamed Bahari prepares new collection for spring 2017

GMT 06:15 2017 Monday ,27 February

Mohamed Bahari prepares new collection for spring 2017
Arab Today, arab today As Olympics loom,China plunges into biz

GMT 10:08 2017 Tuesday ,28 February

As Olympics loom,China plunges into biz
Arab Today, arab today Sheds light on major steps in 12-year career

GMT 06:07 2017 Monday ,27 February

Sheds light on major steps in 12-year career
Arab Today, arab today UN envoy sets out framework

GMT 07:25 2017 Monday ,27 February

UN envoy sets out framework
Arab Today, arab today Kalam Nawaem made a difference in social issues

GMT 06:43 2017 Tuesday ,28 February

Kalam Nawaem made a difference in social issues

GMT 16:05 2017 Tuesday ,28 February

US. Stocks Close Mixed

GMT 15:45 2017 Tuesday ,28 February

US Stocks Close Higher with Dow Hits 12th Record High

GMT 09:45 2017 Tuesday ,28 February

China shuts down $7.3bn illegal forex operation

GMT 06:07 2017 Tuesday ,28 February

LSE, Deutsche Boerse deal in jeopardy
View News in Arabic - Business: أسواق مالية
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Parliament considers solutions to overpopulation

GMT 20:27 2017 Monday ,27 February

Parliament considers solutions to overpopulation
Arab Today, arab today Humans spark most US wildfires

GMT 14:58 2017 Tuesday ,28 February

Humans spark most US wildfires
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Final Phantom VII signals end of an era

GMT 14:31 2017 Tuesday ,28 February

Final Phantom VII signals end of an era
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Aspires present the story of Egypt’s first president

GMT 06:18 2017 Sunday ,26 February

Aspires present the story of Egypt’s first president
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos

GMT 06:42 2017 Saturday ,25 February

Reasons for the delay 'On the Stairs of Servants'

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"

GMT 10:51 2017 Saturday ,25 February

Pigs with edited genes show resistance

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 06:28 2017 Tuesday ,28 February

Dumbphones survive rise of the smartphone

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday