Virus fears keep stocks red; ECB gets ready to rethink


LONDON (Reuters) – World shares fell on Thursday, led by the biggest decline in Chinese stocks in more than eight months, as concern mounted about the spread of a deadly virus in China.

FILE PHOTO: The London Stock Exchange Group offices are seen in the City of London, Britain, December 29, 2017. REUTERS/Toby Melville

With millions of Chinese preparing to travel for the Lunar New Year, the potential the disease to spread, along with the tendency of traders to reduce their exposure before holidays, left markets struggling.

Safe options like Japan’s yen and government bonds rose, while European stocks followed Asia lower [.EU]. The threat to airline travel and an increase in supply pushed oil prices to seven-week lows.

“Ultimately, the coronavirus is a slow-burning but important story for markets that is likely to last for months rather than just a few days,” said TD Securities’ European head of currency strategy, Ned Rumpeltin. “And the natural go-to currencies when there are headlines like these are the yen and the Swiss franc.”

The Swiss franc rose to a near three-year high against the euro overnight CHF, but it was trading little changed as the focus in Europe turned to its central banks.

Norway’s central bank had already left its interest rates unchanged. The European Central Bank holds its first meeting of the year later on Thursday, where it’s expected to outline its first formal policy review in 17 years.

It will probably last for most of the year and span topics from the inflation target to digital money and the fight against climate change.

“Quite a lot has happened in the last 17 years,” Rumpeltin said. “They are due for a rethink.”

WUHAN BAN

As the virus took hold, MSCI’s broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS fell 1.07%. Chinese shares .CSI300 dropped 3.1%, the biggest daily decline since May, when U.S. President Donald Trump’s threats of additional tariffs on Chinese goods rocked financial markets.

Hong Kong .HSI shares ended down 1.5% and Japan’s Nikkei index .N225 slid 1%.

Among major currencies, the Chinese yuan fell to a two-week low, on course for its worst week since August. The Japanese yen climbed 0.2% to secure a third day of gains.

Gold and U.S. Treasuries also rose as China blocked travel to and from Wuhan, the city where the coronavirus outbreak originated. Gold later recovered in Europe.

Deaths in China from the coronavirus rose to 17 on Wednesday, with nearly 600 cases confirmed. The outbreak has evoked memories of Severe Acute Respiratory Syndrome (SARS) in 2002-2003, another coronavirus that broke out in China and killed nearly 800 people worldwide.

“The coronavirus has introduced some caution,” said Michael McCarthy, chief market strategist at CMC Markets in Sydney. “There is no reason to expect a global pandemic now, but there is some repricing in financial markets.”

Reporting by Marc Jones, editing by Larry King



Source link

Pound Remains in Red, but Analyst Says ‘Buy Dip’ By Investing.com


© Reuters.

Investing.com – The pound pared some of its losses Monday against the dollar after falling to a two-and-a-half-week lows as softer U.K. economic data strengthened expectations for a Bank of England rate cut. But an analyst said traders should “buy the dip.”

fell 0.50% to $1.2994, but had been as low as $1.2961 after data showed unexpected weakness in and in November.

The data followed remarks by Bank of England monetary policy member Gertjan Vlieghe Vlieghe, who said he stood ready to back a rate cut if economic growth failed to improve.

But BMO analyst Stephen Gallo suggested investors “buy the dip” as concerns about weak U.K. economic data are overdone.

The weaker U.K. economic data are already “old news” and a potential rate cut could see an “even larger” rebound in sterling on any increased fiscal spending, Gallo said.

rose 0.19% to $1.1141, with some touting further gains for the single currency on expectations for a hawkish pivot from the European Central Bank.

“We see the risk of a hawkish ECB surprise later in the year and generally see other risks as skewed to the downside for USD,” Bank of America said in a note.

The bounce from lows in cable and the slight uptick in the euro, kept the dollar roughly flat.

The , which measures the greenback against a trade-weighted basket of six major currencies, fell by 0.03% to 97.05.

Downside in the greenback, however, was limited by an ongoing decline in the yen on falling demand for safe havens as sentiment on U.S.-China relations continued to improve ahead of the conclusion of their phase one trade deal later this week.

The White House plans to lift its designation of China as a currency manipulator, Bloomberg reported, citing people familiar with the matter.

rose 0.42% to Y109.92, while was flat at C$1.3046.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.





Source link

Crypto Market Turns to Red Across the Board By Cryptovest



The crypto market turned to red across the board on Wednesday, as the general mood remains shaky. (BTC) burrowed under $8,000 again, after holding above $8,200 for a few days. But the leading asset is still entering a period of growing fears, expecting a price drop to another short-term bottom.

Despite the price drop, mining is near its peak at above 108 EH/s, just slightly below its peak levels above 110 EH/s. Mining keeps expanding, with Bitmain once again boosting its activity in building mining farms.

BTC traded at $8,018.36, minutes after dipping to the $7,900 range. Selling expanded volumes to above $17 billion in 24 hours, as BTC for now shows no signs of a…

This article appeared first on Cryptovest

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Major Coins See Mix of Red and Green as BTC Price Stays Above $8,000 By Cointelegraph


© Reuters. Major Coins See Mix of Red and Green as BTC Price Stays Above $8,000

Tuesday, Oct. 8 — The top-20 digital currencies are reporting a mix of green and red after a tide of green earlier in the day, with (BTC) trying to keep above $8,000, according to data from Coin360.

Bitcoin has stayed above the $8,000 threshold during the day, during which its highest price point was $8,355 and the lowest was $8,157. At press time, the leading cryptocurrency is trading at around $8,205, having gained 0.58% on the day.

Keep track of top crypto markets in real time hereContinue Reading on Coin Telegraph

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Cryptocurrency Market Sees Red as Bitcoin Slumps Below $11,000 By Cointelegraph


© Reuters. Cryptocurrency Market Sees Red as Bitcoin Slumps Below $11,000

Tuesday, Aug. 13 — (BTC), Ether (ETH) and continue to bleed amid a crypto market turning red.

Bitcoin is trading at $11,005 at press time, with a 3.83% loss on the day. Bitcoin broke $12,000 three days in a row, from Aug. 6 to Aug. 8., but never managed to hold these highs for a significant period of time. Then on Saturday, Aug.10, BTC price fell by about $400 in just an hour. Price has continued downward since then, and has even dipped below $10,900 today.

Keep track of top crypto markets in real time hereContinue Reading on Coin Telegraph

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Red Meat Could Be the Next Sin Tax After Sugar, Fitch Says By Bloomberg


© Reuters. Red Meat Could Be the Next Sin Tax After Sugar, Fitch Says

(Bloomberg) — Meat could be a target for higher taxes given criticism of the industry’s role in climate change, deforestation and animal cruelty, according to a report by Fitch Solutions Macro Research.

The idea is still its infancy and faces a lot of opposition from farming groups, but it’s emerging as a trend in Western Europe, said the research group. If taxes gain traction, it could encourage more people to switch to poultry or plant-based protein and help drive the popularity of meat substitutes.

“The global rise of sugar taxes makes it easy to envisage a similar wave of regulatory measures targeting the meat industry,” Fitch Solutions said. However, “it is highly unlikely that a tax would be implemented anytime soon in the United States or Brazil.”

In Germany, some politicians have proposed raising the sales tax on meat products to fund better livestock living conditions. A poll for the Funke media group showed a majority of Germans, or 56.4%, backed the measure, with more than a third calling it “very positive” and some 82% of voters for the environmentalist Greens in favor. Similar proposals have been introduced in Denmark and Sweden since 2016, Fitch Solutions said.

Goldsmiths, University of London, announced on Monday that it’ll stop selling beef on campus as part of a push to combat climate change. The decision was met with opposition from the U.K.’s National Farmers Union, which said it was “overly simplistic’’ to single out one food product as a response to global warming.

Taxes on meat and sugar have long been controversial. Shortly after coming into office in July, Prime Minister Boris Johnson suggested he would abolish the U.K.’s tax on sugary drinks and said there there are better ways to address obesity.

Fitch said prices of pork and beef in Western Europe are relatively low, so any added tax would have to cause a big change in retail prices to change customer buying habits.

The loudest argument against meat at the moment is not based on health but climate change. In a report this month, the United Nations said agriculture, forestry and other land use contributes about a quarter of greenhouse emissions.

The meat industry has also been under fire after studies linked eating too much red and processed meat to illnesses ranging from heart disease to cancer. Fitch Solutions linked these concerns to the health issues that prompted the sugar tax saying, “A meat tax could therefore emerge as a policy sibling to the sugar tax, supported on the basis that meat does play a role in a balanced diet but over-consumption is a public health issue.’’

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Cryptocurrency Market Sees Red as Bitcoin Still Struggles Under $12,000 By Cointelegraph


© Reuters. Cryptocurrency Market Sees Red as Bitcoin Still Struggles Under $12,000

Friday, Aug. 9 — (BTC), Ether (ETH) and are slumping along with the rest of a largely red cryptocurrency market.

Bitcoin is trading at$11,910 at press time, with approximately a 1.16% loss on the day. Bicoin has broken $12,000 three times this week, but has lost traction at or above that price point. Nonetheless, some BTC bulls are saying that the current market conditions indicate only a temporary setback for its inevitable surge beyond the previous all-time high. Serial VC investor Tim Draper commented:

Keep track of top crypto markets in real time hereContinue Reading on Coin Telegraph

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



KLCI ends in the red on PChem, PetGas losses but GentingM shines – Business News


KUALA LUMPUR: Foreign funds stepped up selling pressure on Petronas Chemical and Petronas Gas again on Wednesday sending the key FBM KLCI into the red but Genting and Genting Malaysia closed higher.

At 5pm, the KLCI was down 3.26 points or 0.2% to 1,652.41. Turnover was 3.22 billion shares valued at RM2.28bil. Turnover rose by over 16% to 3.22 billion shares from 2.77 billion units the previous day.  Market value rose 13.4% to RM2.28bil. The broader market was mixed with 445 gainers, 431 losers and 434 counters unchanged.

On the external front, Hong Kong stocks ended slightly higher on Wednesday as prospects of fresh China-US trade negotiations lifted sentiment, while investors awaited possible US rate cuts this month, Reuters reported. The Hang Seng index ended up 0.2% at 28,524.04, while the China Enterprises Index closed 0.5% higher at 10,858.88.

US light crude oil rose 32 cents to US$57.09 and Brent added 20 cents to US$64.03 on rising tensions over Iran, a sharp fall in US crude stocks and positive signs on the US-China talks, although worries about weak demand kept a cap on gains, Reuters reported. 

Petronas Chemicals fell 19 sen to RM7.50 – the lowest since February 2018 after its earnings outlook was lowered by analysts. It erased 2.65 points from the KLCI.

Petronas Gas, which came under late selling pressure on Tuesday, fell 32 sen to RM8.76 – the lowest since late May this year. Petronas Dagangan was flat at RM24.28. Dialog was up three sen to RM3.50, near its recent all-time high. Yinson  added 15 sen to RM7.15.

Genting Malaysia rose 25 sen to RM3.70 and Genting 22 sen higher at RM6.87. They added four points to the KLCI.

UOB Kay Hian Malaysia Research said the surge in the share price could be linked to a recent market speculation that the group could have reached a compromise with Fox, thus paving the way for the opening of its outdoor theme park.

“According to market speculation, both parties have reached a commercial agreement after rounds of negotiation, which could possibly result in higher royalty or revenue sharing to Fox. Hence, this suggests that Fox’s controlling shareholder Disney’s aversion against gaming industry may not be ‘the’ stumbling block as widely believed,” it said.

Maybank fell six sen to RM8.76 and wiped out 1.17 points, Public Bank lost 10 sen to RM22.70, Hong Leong Bank was down 12 sen to RM18.20 and RHB Bank six sen to RM5.64. CIMB shed two sen to RM5.17 and AmBank three sen to RM4.26.

Tenaga came under some profit taking, shedding eight sen to RM13.74.

As for telcos, Maxis lost six sen to RM5.61, Digi four sen to RM4.95 but Axiata gained two sen to RM5.15. Telekom shed 12 sen to RM4.45.

Crude palm oil for third month delivery rose RM23 to RM2,027 per tonne, the highest since June 20 on expectations of lower stockpiles in Indonesia and slower output. 

KL Kepong lost four sen to RM23.64, IOI Corp shed one sen to RM4.20, PPB Group and Sime Plantation were unchanged at RM18.66 and RM4.78.

The ringgit edged up 0.04% against the US dollar to 4.1167 but slipped 0.31% against the pound sterling to 5.1331. It was up 0.39% against the euro to 4.5867 and eked out a gain oif 0.06% to the Singapore dollar at 3.0176.





Source link

A Sea of Red as Earnings Live Down to Expectations By Investing.com


© Reuters.

By Geoffrey Smith

Investing.com — Netflix (NASDAQ:) set the tone for a sell-off in stocks on Wednesday night, but Europe’s blue chips have followed swiftly in putting out some equally dismal updates this morning.

The benchmark was down 0.5% at a three-week low of 385.68 by mid-morning in Europe, a performance that would have been even worse without a bright update from pharma giant and index heavyweight Novartis (SIX:), which rose 3.3% to an all-time high after raising its full-year guidance.

Germany’s and Spain’s IBEX were both down 1%, while the U.K. fell 0.6%.

Software giant SAP (DE:), Germany’s most valuable company, fell 6.5% after revenue fell short of forecasts due to weakness in Asia, something that looks set to be a recurring theme for this quarter. SAP touched a nerve already laid bare overnight by another sharp fall in and an unexpected interest rate cut from .

The IBEX’s problems were due largely to construction group ACS (MC:), which fell 5.6% after a disappointing update from its Australian subsidiary.

Nordea (HE:), the biggest bank in the Nordic region, fell 6.1% after missing consensus on profit by some 10% and announcing it would review its financial targets for the year. Higher compliance costs in the wake of a money-laundering scandal and rock-bottom interest rates were largely responsible for the miss.

Anglo American (LON:), the world’s biggest producer of diamonds, fell 1% after announcing a drop in gem sales in the first half of the year. It revised down its forecasts for diamond output this year, citing weak demand. However, it raised its forecast slightly for iron ore output and maintained its guidance on and coal.

Fast fashion group ASOS (LON:) continued its fall from grace, saying that problems with its new warehouses would lead to this year’s pretax profit being barely half of consensus forecasts. The stock fell as much as 14% before paring losses. It’s now wiped out its gains for this year and is testing a five-year low.

And luxury goods group Richemont (SIX:), the owner of jeweler Cartier, fell as much as 4% after announcing results that suffered from the political unrest in Hong Kong, one of its most important markets. Like Swatch (SIX:) and Burberry (LON:) before it, the company noted that tourist numbers had dropped, and that it had closed its stores out of safety concerns. The stock found bidders at lower levels and traded down only 0.6% by 4:45 AM ET (0845 GMT).

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Bitcoin Bears Look Set to Reclaim $10,000 Handle as Sea of Red Hits Crypto By Investing.com



Investing.com – Bitcoin slumped sharply on Tuesday, as selling pressure intensified with the bulls looking increasingly wary of supporting the popular crypto below the psychological $10,000 mark.

fell 7.6% to $9,640.50 by 2:49 p.m. ET (17:49 GMT). It had been as low as $9,654.20. While there wasn’t a clear reason for the slump , the move comes as many fear lawmakers could bash cryptocurrencies as Facebook’s executive Dave Marcus was set to appear before a Senate committee to discuss Libra.

A day earlier, U.S. Treasury Secretary Steven Mnuchin said that the Trump administration and the Treasury had “very serious concerns” with the growth of cryptocurrencies, including Facebook’s Libra coin.

fell below $10,000 for the second time in as many days and looks increasingly likely to end the day below the key technical level as traders rein in bullish bets, pressuring its market cap 4% lower to $172 billion.

Other cryptos were also engulfed in a sea of red, with falling 7.55% to $0.29214, Ehtereum down 14.80% to $197.12 and slipping 15.46% to $78.32. The plunge in altcoins as analysts continued to debate whether the next move higher would be solely dominated by bitcoin.

American broadcaster and bitcoin bull Max Keiser recently suggested the cryptocurrency market rally would not include altcoins and boldly claimed the “altcoin phenomenon is finished.”

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.