Today has been another crazy day on the markets. On Wall Street the Dow Jones closed 363.35 points or 3.5% at 9,962. Although a massive shock, that was a remarkable recovery having seen the index be on target for a jaw-dropping record of 800 points, beating last weeks 777 point drop.
The broader S&P 500 also fell by 3.8%.
Gloom shifted from American banks to Europe with the disjointed and messy response from the continent's governments. The U.S. Government in the shape of the Federal Reserve. would significantly expand the amount of money it made available to major banks. The Fed will now lend up to $900 billion in credit. The sheer size of the new figure, they hope will reassure the markets.
London, did not recover from its own massive fall off a cliff. The Flagship FTSE 100 fell by 391 points or 7.85%. This represents the largest ever points drop and the third largest in percentage terms since its launch in 1987.
Showing posts with label Dow Jones. Show all posts
Showing posts with label Dow Jones. Show all posts
Monday, 6 October 2008
Thursday, 2 October 2008
Wall Street Stil Not Sold on Bailout
Wall Street appears not to believe the $700bn rescue package is going to save the U.S. from recession, even if it does alleviate the credit crunch if the House of Representatives vote for it. The Senate passed it yesterday.
The Dow Jones Industrial Index closed 3.2% or 348 points to close at 10,482. The broader S&P 500 dropped even more with a 46.78 drop or 4% to 1,114. Traditional cyclical sectors, manufacturing, chemical production and mining industries fared worst. These typically are hit hardest by recessions.
The FTSE 100 fell 1.8%
In other news, the European Central Bank left interest rates at 4.25%.
The Dow Jones Industrial Index closed 3.2% or 348 points to close at 10,482. The broader S&P 500 dropped even more with a 46.78 drop or 4% to 1,114. Traditional cyclical sectors, manufacturing, chemical production and mining industries fared worst. These typically are hit hardest by recessions.
The FTSE 100 fell 1.8%
In other news, the European Central Bank left interest rates at 4.25%.
Monday, 22 September 2008
Bailout Euphoria Fades
Euphoria in the financial markets about Hank Paulson's plan to buy toxic debts faded today with the Dow Jones falling 372 points or 3.27%. The S&P 500 dropped 3.8%.
The bailout has to be ratified by Congress where it has been met with incredulity and a desire to load up the legislation with additional items. Help for subprime mortgage holders and regulation on executive bonus are seen as hot items by many Democrats.
In other markets the oil price spiked to close $16 up at more than $!30.
Bank of America, Citigroup, Merrill Lynch and Wachovia all traded lower as investors continued to shun financials. Morgan Stanley kept above water following Mitsubishi UFJ taking a stake.
Goldman Sachs and Morgan Stanley both made the historic decision to become bank holding companies. This enables the banks to take deposits and have access to Federal funds.
The bailout has to be ratified by Congress where it has been met with incredulity and a desire to load up the legislation with additional items. Help for subprime mortgage holders and regulation on executive bonus are seen as hot items by many Democrats.
In other markets the oil price spiked to close $16 up at more than $!30.
Bank of America, Citigroup, Merrill Lynch and Wachovia all traded lower as investors continued to shun financials. Morgan Stanley kept above water following Mitsubishi UFJ taking a stake.
Goldman Sachs and Morgan Stanley both made the historic decision to become bank holding companies. This enables the banks to take deposits and have access to Federal funds.
Dow Jones Markets News
Dow Jones & Company, a News Corporation company (NYSE:NWS) (NYSE:NWS.A) , today introduced Dow Jones Global Markets News, the first in a series of innovative solutions designed to provide an edge for financial professionals seeking timely and useful market information.
Dow Jones Global Markets News is a comprehensive market-moving real-time news source, delivering exclusive analysis and astute commentary on companies, markets -- equities, debt, currencies, energy and commodities -- and the events that affect trades, portfolios and deals. Further, with recent technological advances, Dow Jones delivers headlines faster than ever, enabling sales and trading teams, analysts, investment bankers and investment managers to quickly and easily identify market opportunities across all asset classes.
"Dow Jones journalism is recognized and trusted by financial professionals the world over for its insights and exclusives," said Clare Hart, executive vice president of Dow Jones and president of the company's Enterprise Media Group. "With Dow Jones Global Markets News, equity-market participants will also receive information critical to trading, holdings and their deal pipelines from Dow Jones's stable of publications including The Wall Street Journal, Barron's and the Far Eastern Economic Review. So, for example, when The Wall Street Journal has a scoop, Dow Jones subscribers will be the first to see it. That's hard to beat."
Dow Jones Global Markets News is a comprehensive market-moving real-time news source, delivering exclusive analysis and astute commentary on companies, markets -- equities, debt, currencies, energy and commodities -- and the events that affect trades, portfolios and deals. Further, with recent technological advances, Dow Jones delivers headlines faster than ever, enabling sales and trading teams, analysts, investment bankers and investment managers to quickly and easily identify market opportunities across all asset classes.
"Dow Jones journalism is recognized and trusted by financial professionals the world over for its insights and exclusives," said Clare Hart, executive vice president of Dow Jones and president of the company's Enterprise Media Group. "With Dow Jones Global Markets News, equity-market participants will also receive information critical to trading, holdings and their deal pipelines from Dow Jones's stable of publications including The Wall Street Journal, Barron's and the Far Eastern Economic Review. So, for example, when The Wall Street Journal has a scoop, Dow Jones subscribers will be the first to see it. That's hard to beat."
Monday, 15 September 2008
New York Plunge Worst Since September 11 Attacks
The continuing turmoil in the financial markets has caused the New York to have its worst day since the 2001 terrorist attacks. The Dow Jones Industrial average dropped 504.48 points during the day. The S&P 500 index lost 4.7%. The biggest losers on the were banks and other financial institutions.
Europe, fared similarly with the Flagship FTSE off nearly 4%.
Treasury secretary, Henry M. Paulson Jr., commented “as we work off some of the past excesses,” but that Americans could “remain confident in the soundness and the resilience of our financial system.”
“Let me step back a bit and provide a little perspective,” Mr. Paulson said. “As I’ve long said, the housing correction is at the root of the challenges facing our markets and our financial institutions. I believe that we’ve taken very important steps with respect to Fannie Mae and Freddie Mac, and they’re amongst the most important actions we can take to work through this turmoil.”
Lehman Brothers, led the way seeing their shares drop 95% to 21 cents, on the way to declaring bankruptcy. AIG dropped to $4.76 or 65%. A promise of help from the Federal Reserve helped matters.
Europe, fared similarly with the Flagship FTSE off nearly 4%.
Treasury secretary, Henry M. Paulson Jr., commented “as we work off some of the past excesses,” but that Americans could “remain confident in the soundness and the resilience of our financial system.”
“Let me step back a bit and provide a little perspective,” Mr. Paulson said. “As I’ve long said, the housing correction is at the root of the challenges facing our markets and our financial institutions. I believe that we’ve taken very important steps with respect to Fannie Mae and Freddie Mac, and they’re amongst the most important actions we can take to work through this turmoil.”
Lehman Brothers, led the way seeing their shares drop 95% to 21 cents, on the way to declaring bankruptcy. AIG dropped to $4.76 or 65%. A promise of help from the Federal Reserve helped matters.
Wednesday, 3 September 2008
New Trade Terms
"CDX North America
A portfolio of credit-default swaps of the most volatile entities contained in the Dow Jones CDX North America Investment Grade index. The
Dow Jones CDX North America Investment Grade index is a portfolio of credit-default swaps of investment grade entities domiciled in North
America. The portfolio is constructed with the objective of enhancing overall liquidity."
Covered Bond
A bond backed by specific pools of public sector loans or mortgages. It has an additional guarantee.
iHub
Hosted business communications provider
ISM
Insttitue of Supply Management
iTraxx Europe
Index of credit default swaps, collated on behalf of Markit. Tthe most liquid 125 CDS referencing European investment grade credits, subject to certain sector rules as determined by the IIC and also as determined by the SEC.
A portfolio of credit-default swaps of the most volatile entities contained in the Dow Jones CDX North America Investment Grade index. The
Dow Jones CDX North America Investment Grade index is a portfolio of credit-default swaps of investment grade entities domiciled in North
America. The portfolio is constructed with the objective of enhancing overall liquidity."
Covered Bond
A bond backed by specific pools of public sector loans or mortgages. It has an additional guarantee.
iHub
Hosted business communications provider
ISM
Insttitue of Supply Management
iTraxx Europe
Index of credit default swaps, collated on behalf of Markit. Tthe most liquid 125 CDS referencing European investment grade credits, subject to certain sector rules as determined by the IIC and also as determined by the SEC.
New Trade Terms
"CDX North America
A portfolio of credit-default swaps of the most volatile entities contained in the Dow Jones CDX North America Investment Grade index. The
Dow Jones CDX North America Investment Grade index is a portfolio of credit-default swaps of investment grade entities domiciled in North
America. The portfolio is constructed with the objective of enhancing overall liquidity."
Covered Bond
A bond backed by specific pools of public sector loans or mortgages. It has an additional guarantee.
iHub
Hosted business communications provider
ISM
Insttitue of Supply Management
iTraxx Europe
Index of credit default swaps, collated on behalf of Markit. Tthe most liquid 125 CDS referencing European investment grade credits, subject to certain sector rules as determined by the IIC and also as determined by the SEC.
A portfolio of credit-default swaps of the most volatile entities contained in the Dow Jones CDX North America Investment Grade index. The
Dow Jones CDX North America Investment Grade index is a portfolio of credit-default swaps of investment grade entities domiciled in North
America. The portfolio is constructed with the objective of enhancing overall liquidity."
Covered Bond
A bond backed by specific pools of public sector loans or mortgages. It has an additional guarantee.
iHub
Hosted business communications provider
ISM
Insttitue of Supply Management
iTraxx Europe
Index of credit default swaps, collated on behalf of Markit. Tthe most liquid 125 CDS referencing European investment grade credits, subject to certain sector rules as determined by the IIC and also as determined by the SEC.
Subscribe to:
Comments (Atom)