STOCK EXCHANGES AROUND THE WORLD
Pakistan stocks stay into the red zone
In line with its usual performance, the stock market once again slipped into the red zone on Friday following close of the rollover week. The benchmark KSE-100 index opened downwards and despite brief spikes it maintained its march towards south. Persistent selling pressure pushed the index to an intra-day low of 31,434.14 points.
Dismal inflation data weighed on investor sentiment as market players opted to stay on the sidelines. At the end of trading, the benchmark KSE 100-share Index recorded a decrease of 172.70 points, or 0.54 percent, to settle at 31,666.41. Overall, trading volumes decreased to 46.5 million shares compared with Thursday’s tally of 70.7 million. The value of shares traded during the day was Rs2 billion. Shares of 311 companies were traded. At the end of the day, 145 stocks closed higher, 149 declined and 17 remained unchanged. International Steels was the volume leader with 5.05 million shares, gaining Rs1.47 to close at Rs33.22. It was followed by Maple Leaf Cement with 4.5 million shares, gaining Rs0.22 to close at Rs17.22 and Fauji Cement with 2.1 million shares, losing Rs0.11 to close at Rs13.34.
US stocks sink to one-month low
Wall Street’s main indexes sank to one-month lows on Friday after a sharp escalation in US-China trade tensions and tepid job growth in July reinforced fears of a global economic slowdown.
The Labor Department said nonfarm payrolls increased by 164,000 jobs last month and the economy created 41,000 fewer jobs in May and June than previously reported. However, July’s numbers were in line with economists’ expectations.
The jobs report comes a day after President Donald Trump threatened to slap a 10% tariff on $300 billion of Chinese imports from next month, sending global markets tumbling overnight and investors fleeing to safe-haven US Treasuries and the Japanese yen.
China on Friday said it would not be blackmailed and warned of retaliation.
Technology companies, which get a sizeable portion of their revenue from China, were the hardest hit, down 1.34%, weighed by iPhone maker Apple Inc and chipmakers.
The Dow Jones Industrial Average was down 128.15 points, or 0.48%, at 26,455.27, the S&P 500 was down 16.70 points, or 0.57%, at 2,936.86. The Nasdaq Composite was down 68.59 points, or 0.85%, at 8,042.53.
Declining issues outnumbered advancers for a 2.24-to-1 ratio on the NYSE and for a 2.25-to-1 ratio on the Nasdaq. The S&P index recorded four new 52-week highs and four new lows, while the Nasdaq recorded seven new highs and 76 new lows.
Britain top share index endures worst day of 2019
UK shares plunged to their lowest in a over a month on Friday after US President Donald Trump threatened to hit China with more trade tariffs, while a Brexit-induced warning on targets knocked shares in Royal Bank of Scotland.
The FTSE 100 index slumped 2.3 percent on its worst day so far this year, while the FTSE 250 midcap index weakened by 1.7 percent. All of the major constituent sectors on both indexes ended with losses for the day. The last major escalation of the US-China trade tensions was behind a sharp drop in the FTSE 100 in May, but the index is still on course for its biggest annual rise since 2016 as Brexit-driven weakness in the pound helps the index’s largely internationally-focused companies.
France stocks index remains lower
France stocks were lower after the close on Friday, as losses in the Foods & Drugs, Gas & Water and General Financial sectors led shares lower. At the close in Paris, the CAC 40 fell 3.57 percent to hit a new 1-month low, while the SBF 120 index declined 3.38 percent. Falling stocks outnumbered advancing ones on the Paris Stock Exchange by 450 to 113 and 95 ended unchanged. The CAC 40 VIX, which measures the implied volatility of CAC 40 options, was up 30.49 percent to 17.50 a new 1-month high. Gold Futures for December delivery was up 1.88 percent or 26.95 to $1459.35 a troy ounce. Elsewhere in commodities trading, crude oil for delivery in September rose 3.37 percent or 1.82 to hit $55.77 a barrel, while the October Brent oil contract rose 2.74 percent or 1.66 to trade at $62.16 a barrel.
Germany’s dax index fall over 3pc
Germany stocks were lower after the close on Friday, as losses in the Technology, Consumer & Cyclical and Chemicals sectors led shares lower. At the close in Frankfurt, the DAX lost 3.11 percent to hit a new 1-month low, while the MDAX index declined 2.16percent, and the TecDAX index fell 2.96percent.
Falling stocks outnumbered advancing ones on the Frankfurt Stock Exchange by 553 to 135 and 62 ended unchanged. The DAX volatility index, which measures the implied volatility of DAX options, was up 27.41 percent to 18.50 a new 1-month high. Gold Futures for December delivery was up 1.82 percent or 26.05 to $1458.45 a troy ounce. Elsewhere in commodities trading, Crude oil for delivery in September rose 3.17 percent or 1.71 to hit $55.66 a barrel, while the October Brent oil contract rose 2.71 percent or 1.64 to trade at $62.14 a barrel.
India’s Sensex ends 100 points up after a volatile day, Nifty below 11,000
Fresh trade war concerns between the United States and China weighed down investors’ sentiment on Friday leading to a sluggish trade through the day.
The benchmark S&P BSE Sensex and the broader Nifty50 plummted 411 points and 131 points respectively during the intra-day trade before staging a smart recovery during the last trading hour. Indices inched higher on reports that the PMO took stock of the steep sell-off being witnessed in the market since the presentation of the Union Budget 2019-20.
Reports suggested that PMO met officials from the Finance Ministry on Thursday to discuss concerns raised by the FPIs and even considered proposals submitted by them. The Sensex closed at 37,118 level, up 100 points, or 0.27 per cent with Bharti Airtel, Asian Paints, Bajaj Auto, and Maruti being the top gainers.
On the other hand, Tata Steel, SBI, Vedanta, and ONGC ended the day with steep losses. The broader Nifty50 failed to hold the psychological 11,000-mark to end at 10,997, up 17 points, or 0.16 per cent. In the broader markets, S&P BSE Mid-cap closed at 13,547 level, up 20 points, or 0.15 per cent while the S&P BSE Small-cap settled 55 points, or 0.44 per cent, lower at 12,496 level.
Japan’s Nikkei index dips
Japan stocks were lower after the close on Friday, as losses in the Paper & Pulp, Railway & Bus and Real Estate sectors led shares lower.
At the close in Tokyo, the Nikkei 225 fell 2.20 percent. Falling stocks outnumbered advancing ones on the Tokyo Stock Exchange by 3210 to 398 and 124 ended unchanged. Shares in Asahi Kasei Corp fell to 52-week lows; down 7.80 percent or 85.5 to 1010.0. The Nikkei Volatility, which measures the implied volatility of Nikkei 225 options, was unchanged 0.00 percent to 15.55. Crude oil for September delivery was up 1.52 percent or 0.82 to $54.77 a barrel. Elsewhere in commodities trading, Brent oil for delivery in October rose 1.92 percent or 1.16 to hit $61.66 a barrel, while the December Gold Futures contract rose 1.24 percent or 17.75 to trade at $1450.15 a troy ounce.