- After Helene's destruction, North Carolina starts to rebuild
- Dockers end three-day strike at Montreal port
- What next for OpenAI after $157 billion bonanza?
- Israel-Hamas war causes 86-percent dive in Gaza GDP: IMF
- Milan's Morata moves house after Inter-fan town mayor 'violates' privacy
- 'Devastating' storm hits Augusta National but Masters will go on
- Relief in Brazil, Asia over delay to EU deforestation rules
- Oil prices jump, stocks fall on Middle East tensions
- Biden says 'discussing' possible Israeli strikes on Iran oil facilities
- Oil prices rise, stocks fall on Middle East tensions
- Oil rallies, stocks mostly retreat on Middle East tensions
- Phasing out teen smoking could save 1.2 mn lives: study
- 'Welcome relief': Asia producers hail EU deforestation law delay
- Japan PM slated to announce plans for 'happiness index'
- Turkish inflation falls less than expected in September at 49.4%
- Easing inflation lifts profit at UK supermarket Tesco
- Skiing calls on UN climate science to combat melting future
- China wine industry looks to breed climate resilience
- Tokyo rallies on weak yen, Hong Kong drops after surge
- Dutch airline KLM unveils 'firm' cost-cutting measures
- Carpe diem: the Costa Rican women turning fish into fashion
- Senegal looks to aquaculture as fish stocks dwindle
- Will AI one day win a Nobel Prize?
- Climate change, economics muddy West's drive to curb Chinese EVs
- Argentina's Milei vetoes university budget after huge protests
- TotalEnergies plans to grow oil and gas production until 2030
- 2024 Nobels offer glimmer of hope as global crises mount
- Tokyo rallies on weak yen, Hong Kong reverses after surge
- Tunisia readies for vote as incumbent Saied eyes victory
- High childcare costs in US weigh on women's employment
- US voters seek help with crushing childcare costs
- Taiwan shuts down for second day as Typhoon Krathon to land
- Supercharged storms: how climate change amplifies cyclones
- Biden official urges talks as US port strike enters second day
- Huge protests in Argentina over public university cuts
- Rally in oil prices loses steam on mixed day for global stocks
- South America treated to rare 'ring of fire' eclipse
- Biden official says port strike deal not as far as parties think
- Mexico's new president offers apology for 1968 student massacre
- Historic funding round values OpenAI at $157 billion
- Mixed US car sales in Q3 as industry hopes for post-election bounce
- Thunderstorms are a 'boiling pot' of gamma rays, scientists find
- Scientists unlock secret of 'Girl With Pearl Earring'
- Dolphins flash friendly grins when they're ready to play
- Facing backlash, EU moves to delay deforestation rules
- US private sector adds more jobs than expected in September: ADP
- Boys out of critical condition after Zurich stabbings
- Spain logs record summer tourism as inflow draws protests
- Hedi Slimane quits as Celine's artistic director
- Oil prices extend rally on Iran attack
RBGPF | -1.35% | 59.99 | $ | |
BCC | -0.9% | 138.29 | $ | |
RYCEF | 1.15% | 6.98 | $ | |
SCS | -1.98% | 12.62 | $ | |
CMSC | -0.16% | 24.74 | $ | |
VOD | -0.52% | 9.69 | $ | |
GSK | -2.81% | 38.37 | $ | |
BTI | -2.45% | 35.11 | $ | |
RIO | -1.42% | 69.83 | $ | |
NGG | -2.7% | 66.97 | $ | |
JRI | -0.6% | 13.3 | $ | |
RELX | -1.46% | 46.61 | $ | |
BCE | -1.77% | 33.84 | $ | |
CMSD | -0.16% | 24.89 | $ | |
BP | 0.28% | 32.46 | $ | |
AZN | -2.12% | 77.93 | $ |
Global stocks mostly fall on latest troubling inflation figures
Stock markets mostly retreated Thursday as fresh evidence of runaway global inflation ramped up expectations of more aggressive interest rate hikes by central banks, while disappointing earnings revived recession fears.
A day after data showing the biggest jump in US consumer prices in more than four decades, the Labor Department reported that US wholesale prices rose 1.1 percent, topping expectations, on a 10 percent surge in energy prices, more than double the increase in May.
Market watchers are now wondering whether the Federal Reserve could hike US borrowing costs by a full percentage point at a scheduled policy meeting this month.
Meanwhile, results from JPMorgan Chase lagged estimates as the banking giant reported a 28 percent drop in quarterly earnings and set aside additional funds in case of bad loans.
The disappointing results from JPMorgan and from Morgan Stanley underscore "that now we're entering the process of the very real possibility of an earnings recession," said Adam Sarhan of 50 Park Investments, referring to the possibility of two consecutive quarters of lower profits compared to the same three months of the prior year.
"That could lead to lower (stock) prices," Sarhan said. "Because first things slowed down on Main Street, and then you see earnings slow down on Wall Street."
The Dow and S&P 500 each finished with modest losses after starting the day sharply lower, staging a rebound as investors grabbed a bargain-hunting opportunity.
Also Thursday, the European Commission slashed its growth forecast for the region in light of the Ukraine invasion and the risks to the region's energy supply, and said eurozone inflation will end the year at 7.6 percent, much higher than previously estimated.
The forecasts "depend heavily on the evolution of the war and in particular its implications for Europe's gas supply," the commission said. "Further increases in gas prices could further raise inflation and stifle growth."
Europe's main stock indices finished more than one percent lower, with Milan slumping more than three percent amid political turmoil in Italy.
Italy's teetering government was thrown a lifeline late Thursday after the country's president refused to accept the resignation of Prime Minister Mario Draghi.
The crisis comes as Italy battles raging inflation and races to push through key reforms required by the European Union in exchange for post-pandemic funds.
Elsewhere, the euro fell back below parity with the US dollar once again shortly after US markets opened, before bouncing back.
- Key figures at around 2050 GMT -
New York - Dow: DOWN 0.5 percent at 30,630.17 (close)
New York - S&P 500: DOWN 0.3 percent at 3,790.38 (close)
New York - Nasdaq: UP less than 0.1 percent at 11,251.19 (close)
London - FTSE 100: DOWN 1.6 percent at 7,039.81 (close)
Frankfurt - DAX: DOWN 1.9 percent at 12,519.66 (close)
Paris - CAC 40: DOWN 1.4 percent at 5,915.41 (close)
EURO STOXX 50: DOWN 1.7 percent at 3,396.61 (close)
Tokyo - Nikkei 225: UP 0.6 percent at 26,643.39 (close)
Hong Kong - Hang Seng Index: DOWN 0.2 percent at 20,751.21 (close)
Shanghai - Composite: DOWN 0.1 percent at 3,281.74 (close)
Euro/dollar: DOWN at $1.0022 from $1.0059 Wednesday
Pound/dollar: DOWN at $1.1826 from $1.1889
Euro/pound: UP at 84.72 pence from 84.61 pence
Dollar/yen: UP at 138.93 yen from 138.20 yen
West Texas Intermediate: DOWN 0.5 percent at $95.78 per barrel
Brent North Sea crude: DOWN 0.5 percent at $99.10 per barrel
burs-jmb
O.Hansen--CPN