Manufacturing in China Falls and Stocks Follow

Global stocks were lower on Monday as weakness in another manufacturing survey in China was seen, which added to the jitters over emerging economies.

In early trading in Europe, major bench benchmarks remained lackluster. The FTSE 100 in Britain was up by 0.2%, but the CAC-40 in France was down by 0.1% and the DAX in Germany was off by 0.1%. In the U.S., the futures on the Dow and the S&P 500 were up by 0.1%.

The Tokyo Stock exchange barometer the Nikkei 225 closed off 2% as the yen pulled from its weakness versus the dollar over recent days, which causes a negative for stocks related to exporting.

In addition, negative sentiment was the manufacturing survey from China that was less than positive and showed that output in factories was up by a lower rate during January compared to December. The survey was released over the weekend and followed the survey from HSBC that showed manufacturing in China had contracted in January.

Markets were not open in China, Hong Kong, Malaysia and Taiwan for the Lunar New Year. The Kospi in Seoul fell 1.1%. Amongst, the markets in Asia that were open, only the Thailand markets posted gains following a national election on Sunday that did not experience any violence.

The financial markets across several emerging economies including Argentina and Turkey have been hit hard recently on concerns that their growth would slow and money would leave their economies as the Federal Reserve in the U.S. tightens the stimulus monetary policy. In turn, that has hit many stock markets, which had been ripe for pullbacks after huge gains throughout 2013.

Jitters over emerging markets were the focus for many investors, which in turn fueled the purchase of yen, which was viewed as a safe haven asset and that helped to send stocks lower.

On Friday, Wall Street saw the Dow Jones fall 149 points, the S&P 500 11 points and the Nasdaq 19 points.

U.S. Crude for delivery in March was off by 51 cents per barrel to $96.98 in New York Mercantile trading. The contract had dropped 74 cents to end Friday at $97.49.

Get Analysts' Upgrades and Downgrades Daily - Enter your email address below to receive a concise daily summary of analysts' upgrades, downgrades and new coverage with MarketBeat.com's FREE daily email newsletter.

Latest News

How to Trade on Forex – 8 Steps for Beginners
How to Trade on Forex – 8 Steps for Beginners
Super Nintendo World Theme Park Officially Starts Construction
Super Nintendo World Theme Park Officially Starts Construction
Amazon and Apple Join Foxconn to Secure Chip Business of Toshiba
Amazon and Apple Join Foxconn to Secure Chip Business of Toshiba
Camera Zooms In and Can Recognize Faces
Camera Zooms In and Can Recognize Faces
Netflix Could See 150 Million Worldwide Subscribers
Netflix Could See 150 Million Worldwide Subscribers
LeEco Cutting Over 70% of Staff in U.S. Amidst Pull Back
LeEco Cutting Over 70% of Staff in U.S. Amidst Pull Back


© 2006-2017 Ticker Report. Google+.