Stock markets around the world plummeted on Monday, taking their lead from the U.S., where a leading index fell more than 4 percent last week following increased concern that the U.S. will head for a recession.
World stocks nosedived and demand for safe-haven bonds and currencies soared on Monday as fears gripped investors that a deteriorating U.S. economy would drag others down with it. MSCI's main world stock index, a benchmark gauge of stock markets globally, sank 2.6 percent, falling below its 2007 bottom to lows last seen in December 2006.
World stocks took a beating on Monday and demand for safe-haven bonds and currencies rose as fears gripped investors that a troubled U.S. economy would drag others down with it. MSCI's main world stock index was down 1.9 percent, nearing its 2007 low. The pan-European FTSEurofirst 300 was down 2.4 percent, taking its 2008 year-to-date losses to 12 percent.
U.S. stocks fell a fourth consecutive day on Friday, causing the Standard & Poor's 500 to drop the most in five years on concerns that the White House effort to boost the economy may not prevent a recession.
Shares of media and entertainment companies were slighter higher on Friday after the Hollywood directors' union reached a contract deal with the Alliance of Motion Picture and Television Producers (AMPTP).
Asian stocks fell to a five-month low after U.S home construction and manufacturing numbers added concern that the world's largest economy is in recession.
U.S. stocks fell on Thursday after Federal Reserve Chairman Ben Bernanke said that the economic outlook has worsened and Merrill Lynch & Co. reported the a big loss related to the struggling mortgage lending market.
U.S. stocks rose on Wednesday, after JPMorgan Chase & Co. and Wells Fargo & Co. reported quarterly results not worse than expectations, giving some hope that the battered financial sector may be able to cut some of its losses.
Gold surged to a historic high above $910 an ounce, as investors rushed to buy the metal on further weakness in the dollar and expectations of a sharp cut in U.S. interest rates.
U.S. stocks rallied on Monday after IBM Corp. reported better-than-estimated preliminary fourth quarter earnings, boosting technology shares and pushing the Dow Jones Industrial Average to a gain of more than 100 points. Shares of IBM, the world's biggest computer-services provider, rose the most in five years.
Oil prices on Friday declined amid fears that the US economy is headed for a recession that may result into decreased demand for oil despite US being the largest energy consumer.
Stocks dropped on Friday as slowing consumer spending and write-downs in the financial sector sent the Dow Jones into triple digit losses. With earnings expected in coming weeks, investors are increasingly worried about how major banks and brokerages have fared in the most recent quarter after suffering losses related sub-prime mortgages.
U.S. stocks rose for a second day on Thursday after Federal Reserve Chairman Ben Bernanke pledged to further cut interest rates and on news that Bank of America is reported to buy struggling mortgage lender Countrywide Financial Corp.
U.S. Stocks seesawed on Wednesday, closing in the green after forecasts of an economic recession drove investors into sectors seen as resistant to the looming economic contraction, such as health care and consumer companies.
The dollar gained versus the euro on Wednesday on lower economic indicators in Germany and comments by St. Louis Federal Reserve President William Poole that it is too soon to tell if housing woes will trigger an economic recession.
The stock market may be the deciding factor in whether the U.S. economy tips into a consumer-driven recession this year.
U.S. stocks were mixed on Wednesday after Goldman Sachs Group forecast a recession in 2008 erasing gains from health care and consumer companies. Investors bought defensive stocks including drug makers such as Merck & Co and Pfizer Inc and those of consumer staple companies such as Altria Group Inc parent of cigarette maker Philip Morris.
Technology stocks plunged on Tuesday, with the tech heavy Nasdaq Composite index closed down for the eight straight session.
U.S. stocks nose-divided in the final hour of Tuesday trading on rising consumer debt, higher oil prices, and traders grew bearish on weak housing economic data.
U.S. stocks fell sharply on Tuesday amid various reports pointing to further weakening in the economy. A drop in home sales, reduced consumer spending at AT&T and rumors of a possible bankruptcy at leading mortgage lender Countrywide Financial contributed to a nearly 2 percent drop in the benchmark Dow Jones Industrial Average.
U.S. Treasuries fell on Tuesday as traders grew concerned over a possible recession triggered by an ongoing downturn in the housing market.
U.S. stocks dropped on Tuesday, clearing earlier gains as shares of mortgage-related companies plunged on declining home sales and increased economists speculation that Countrywide Financial Corp is facing a fund shortage.
The yen weakened across the board on Tuesday as investors waded back into risky carry trades, sparked by moderate gains in global equities and a rise in commodity prices.
Technology stocks ended lower on Monday as many of the sector's major players tumbled giving the Nasdaq its seventh consecutive day fall, its longest losing streak since June 2006.
U.S. Stocks gained momentum during Monday's morning trading as bargain hunters bought beaten-down shares amidst expectations that Friday's jobless report will cause the Fed to further cut interest rates to ward off an economic recession.
Japan's benchmark Nikkei average hit a new 17-month low on Monday, beaten down by fresh worries about the U.S. economy that sent Wall Street tumbling and prompted investors to sell chip shares.
The dollar fell against the yen on Friday after a pair of U.S. government reports raised concern about the economy, indicating that hiring slowed in December and the unemployment rose to a two-year high.
U.S. stocks fell on Friday for a third time this week as the Nasdaq Composite Index hit its steepest drop since Feb. 27, 2007, following a 5 percent rise in unemployment raising investors concern of an economic recession.
Brazilian and Mexican equities edged higher Thursday, as buyers sought bargains a day after U.S. economic worries sent stocks sharply lower.
The broader U.S. stock market was flat after an earlier rebound fizzled out on Thursday on concerns about technology spending in the new year and anxiety that Friday's payrolls data will offer fresh evidence the economy is headed into a recession.
