- With 118 dead from Hurricane Helene, Biden defends US government response
- Breeder who tried to create enormous trophy sheep jailed in US
- Qatar Airways seeking 25% stake in Virgin Australia
- US port officials gird for strike as labor talks stay stuck
- As toll crosses 100, Trump puts Hurricane Helene at election center stage
- US Fed Chair sees 'further disinflation' in economy
- Epic Games sues Google and Samsung over app store
- Officials see no shortages from likely US port strike
- UK families of Gaza hostages warn Lebanon attack 'takes focus away'
- Shares in Stellantis, Aston Martin skid on profit warnings
- Dali prints found in London garage sold at auction
- ECB chief backs bank mergers amid UniCredit, Commerzbank talk
- China stocks soar on stimulus, but US and Europe retreat
- 100 dead in storm Helene damage, flooding across US southeast
- China stocks soar on stimulus, Europe slides on automaker woes
- German antitrust watchdog steps up monitoring of Microsoft
- Nepal's urban poor count cost of 'nightmare' floods
- E.Guinea, Gabon clash at ICJ over oil-rich islands
- New blow for UK's Starmer as growth data disappoints
- China's top banks to tweak mortgage rates to boost housing market
- Muslim women break taboos navigating east London's waterways
- Nepal dam-building spree powers electric vehicle boom
- More than 60 dead from storm Helene as rescue, cleanup efforts grow
- Dozens missing, 9 dead in migrant boat wreck off Spanish Canaries
- Death toll from Hurricane John hits eight in Mexico
- Storm Helene's toll rises as rescue and cleanup efforts gain pace
- SpaceX launches mission to return stranded astronauts
- Storm Helene kills 44, threatens more 'catastrophic' flooding as cleanup begins
- SpaceX set to launch mission to return stranded astronauts
- Storm Helene kills 44, threatens more 'catastrophic' flooding
- Boeing strike grinds on as latest talks fail to reach agreement
- Iran 'news' sites, hackers target Trump ahead of US election
- US ports brace for potential dockworkers strike
- Japan's speedy, spotless Shinkansen bullet trains turn 60
- US hurricane deaths rise to 44, fears of more 'catastrophic' flooding
- Global stocks mostly rise, cheering Beijing stimulus
- Europe en route for Moon with new simulator, says astronaut Pesquet
- Fireworks forecast if comet survives risky Sun flypast
- Argentina judge orders dictionary to delete pejorative definition of 'Jewish'
- Global stocks rise on rate hopes, Beijing stimulus
- S.African woman turns 118, among the oldest in the world
- UK clears $4 bn AI partnership between Amazon, Anthropic
- Barca fans barred from Champions League away game over racist banner
- Chinese stocks extend surge, Europe higher on Beijing stimulus
- Pope says Church must 'seek forgiveness' for child sexual abuse
- China caps week of 'bazooka' stimulus for ailing economy with rate cut
- Cuts, cash, credit: China bids to jumpstart flagging economy
- France's debt weighs heavier ahead of budget debate
- Iran treads carefully, backing Hezbollah while avoiding war
- Return to sender: waste stranded at sea stirs toxic dispute
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Oil prices dive on weaker IMF growth forecast as US stocks rally
Oil prices plunged by more than five percent Tuesday on worries that slowing growth will dent petroleum demand, while US stocks enjoyed a solid rally following a series of weak sessions.
The catalyst for the drop in both Brent and West Texas Intermediate futures was the IMF sharply downgrading its 2022 global growth forecast to 3.6 percent, 0.8 percentage points lower than its previous estimate released in January.
Energy prices are surging, debt levels are rising and shortages remain acute, the IMF noted, as multiple crises including the Ukraine war and coronavirus pandemic fuel an acceleration of inflation.
"The economic effects of the war are spreading far and wide -- like seismic waves that emanate from the epicenter of an earthquake," IMF chief economist Pierre-Olivier Gourinchas said in the report.
The downgrade was sharper for the eurozone, which is now expected to grow by 2.8 percent instead of 3.9 percent.
The report projected US growth would be 3.7 percent, down 0.3 percent from the earlier outlook.
While European bourses pulled back, US stocks enjoyed a buoyant session, rallying after a tepid open.
The broad-based S&P 500 finished up 1.6 percent.
Analysts cited better-than-expected US housing starts data, as well as solid earnings from Johnson & Johnson and other companies.
Much of the strength also stemmed from the positioning of the market.
"It's a nice reflex rally from an oversold position," said Art Hogan, strategist at National Securities, who said the dynamics reflected a "pretty oversold market."
Still, markets remain focused on the shifting monetary policy outlook as the yield on the 10-year US Treasury note climbed above 1.9 percent.
Airline shares were solidly higher after many US carriers lifted mask requirements following a ruling from a federal judge that struck down the nationwide face-covering mandate on transportation. American Airlines, Delta Air Lines and Southwest Airlines all won at least two percent.
But Lockheed Martin lost 1.6 percent after reporting that profits and sales dipped as the defense giant cited the drag from Covid-19 restrictions on its supply chain.
- Key figures around 2050 GMT -
New York - Dow: UP 1.5 percent at 34,911.20 (close)
New York - S&P 500: UP 1.6 percent at 4,462.21 (close)
New York - Nasdaq: UP 2.2 percent at 13,619.66 (close)
London - FTSE 100: DOWN 0.2 percent at 7,601.28 points (close)
Frankfurt - DAX: DOWN 0.1 percent at 14,153.46 (close)
Paris - CAC 40: DOWN 0.8 percent at 6,534.79 (close)
EURO STOXX 50: DOWN 0.5 percent at 3,830.76 (close)
Tokyo - Nikkei 225: UP 0.7 percent at 26,985.09 (close)
Shanghai - Composite: DOWN 0.1 percent at 3,194.03 (close)
Hong Kong - Hang Seng Index: DOWN 2.3 percent at 21,027.76 (close)
Dollar/yen: UP at 128.89 yen from 126.69 yen
Euro/dollar: UP at $1.0796 from $1.0782
Pound/dollar: DOWN at $1.2998 from $1.3019
Euro/pound: UP at 82.98 pence from 82.85 pence
Brent North Sea crude: DOWN 5.2 percent at $107.25 per barrel
West Texas Intermediate: DOWN 5.2 percent at $102.56 per barrel
burs-jmb/cs
H.Cho--CPN