02092016Tue
Last update: Tue, 09 Feb 2016 10pm

Stocks and Bonds

Archive: 

Wall Street was deep in the red in volatile trading on Monday, as technology stocks continued to sell off and oil prices remained under pressure, sending investors scurrying to safe-haven assets. The technology-heavy Nasdaq Composite fell nearly 3 percent to its lowest since October 2014, weighed down by Microsoft, Amazon and Facebook, while the Dow Jones industrial average shed more than 350 points.

Tokyo stocks cast off early losses to finish higher Monday, buoyed by a weaker yen and upbeat economic data. The Japanese market sank one percent after the opening bell, tracking a fall on Wall Street as relatively strong US jobs data sparked speculation that the Federal Reserve could decide to raise rates again as soon as March. But the weakening of the yen - a plus for exporters' profitability - pushed markets higher, with the benchmark Nikkei 225 index adding 1.10 percent, or 184.71 points, to close at 17,004.30.
Britain's top share index fell on Monday to its lowest level in more than two weeks, weighed down by falls in banking stocks to multi-year lows and weakness in the tech sector. Growth sensitive sectors weighed on the FTSE 100 as concern over the state of the global economy mounted. Financial stocks took more than 50 points off the FTSE 100, with the consumer discretionary sector and energy shares combining to take off over another 35 points.
European shares closed at their lowest level in more than two years on Monday with investor concerns over the health of the region's banks compounding worries over slowing global growth. The pan-European FTSEurofirst 300 index closed down 3.4 percent at 1,239.68 points, its lowest since October 2013. The STOXX Europe 600 banking index fell 5.6 percent, making it the top sectoral faller. The index is down around 24 percent so far this year on concerns about banks' profitability and capital strength in an environment where monetary stimulus continues to put pressure on margins.
Greece's main equity index fell to its lowest level in more than 25 years, with bank shares touching record lows, driven by political uncertainty and concerns about Europe's financial sector. Athens' benchmark ATG equity index was down 8 percent on Monday, at its lowest level since at least 1991. The Athens Stock Exchange FTSE Banks Index also fell 26 percent to touch record lows, with shares in major lender National Bank of Greece falling 28.6 percent.
Borrowing costs in the euro zone's most indebted countries jumped on Monday as concerns over global growth and the health of Europe's financial sector pushed investors into safe-haven assets. Yields on triple-A rated German two-year bonds hit a record low of minus 0.52 percent, whilst 10-year yields fell 9 basis points (bps) to 0.23 percent, a level not seen since April 2015.
In a major move to check insider trading offences in stock exchanges, the Securities and Exchange Commission of Pakistan (SECP) has decided to make it mandatory for the listed companies to record names of persons having access to inside information. In this regard, the SECP has issued Access to Inside Information Regulations, 2016 here on Monday.