FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com


Join the forum, it's quick and easy

FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com
FINANCIAL CHRONICLE™
Would you like to react to this message? Create an account in a few clicks or log in to continue.
FINANCIAL CHRONICLE™

Encyclopedia of Latest news, reviews, discussions and analysis of stock market and investment opportunities in Sri Lanka

LISTED COMPANIES

Submit Post
Poll

Can there be another Covid-19 wave in Sri Lanka?

 
 
 

View results

STOCK MARKET TRAINING
ශ්‍රී ලංකා මූල්‍ය වංශකථාව - සිංහල
Submit Post


CONATCT US


Send your suggestions and comments

* - required fields

Read FINANCIAL CHRONICLE™ Disclaimer

Latest topics

» I keep seeing in the face book about the stock market but I still have no idea it is. Do you know? Stock market for beginners
by Asoka Samarakone Today at 9:40 pm

» AMF will reach its high again?
by High-flyer Today at 9:30 pm

» Owner of Dividend Mr.E or Mr.D after DVP
by niru Today at 9:29 pm

» DVP යනු කුමක්ද? Explained
by kanishkaecomm Today at 8:39 pm

» EAST WEST PROPERTIES PLC (EAST.N0000)
by SAGA Today at 7:10 pm

» Browns price down
by Dilip Today at 6:41 pm

» LLUB=BULL Chevron Lanka Lubricant Target Price Rs 150..
by samansilva Today at 5:10 pm

» Concened Investor writes to CSE regarding new DVP
by God Father Today at 2:00 pm

» EXPOLANKA HOLDINGS PLC (EXPO.N0000)
by Mr. X Today at 1:15 pm

» Colombo Stock Market poised for growth - Webinar
by dayandacool Today at 12:43 pm

» DVP - හදුන්වාදීම කොටස් වෙළදපලේ අධිකාරීන් ඔබට පැහැදිලි කරන්න සූදානම් - කතාකරන්න අන්ක.මෙන්න
by Mr. X Today at 9:35 am

» No static policies hurting SL
by dayandacool Today at 2:41 am

» Investing in Sri Lanka in ‘The New Normal’ - Nimal Perera
by CHRONICLE™ Today at 12:43 am

» Daily Foreign Transactions update
by Pradeep90 Yesterday at 9:01 pm

» HATTON NATIONAL BANK PLC
by judecroos Yesterday at 8:55 pm

» LANKA ALUMINIUM INDUSTRIES PLC (LALU.N0000)
by dulans Yesterday at 8:35 pm

» Directors' Dealings 18/06/2021
by SAGA Yesterday at 7:28 pm

» Top Foreign Tradings today - 18/06/2021
by SAGA Yesterday at 7:00 pm

» SOFTLOGIC CAPITAL PLC (SCAP.N0000)
by SAGA Yesterday at 4:40 pm

» NIFL going up
by SAGA Yesterday at 4:19 pm

EXPERT CHRONICLE™

MARKET CHAT


CHRONICLE™ ANALYTICS


ECONOMIC CHRONICLE

GROSS DOMESTIC PRODUCT (GDP)


CHRONICLE™ YouTube


You are not connected. Please login or register

FINANCIAL CHRONICLE™ » DAILY CHRONICLE™ » Japan plunge spooks global markets (-1,143: -7.32%)

Japan plunge spooks global markets (-1,143: -7.32%)

Go down  Message [Page 1 of 1]

1Japan plunge spooks global markets (-1,143: -7.32%) Empty European stocks dive after Tokyo plunge Thu May 23, 2013 6:02 pm

sriranga

sriranga
Co-Admin
LONDON, May 23, 2013 (AFP) - European stock markets slumped on Thursday, with most indices losing more than 2.0 percent after Tokyo shares plunged owing to weak Chinese data and signs that the US Federal Reserve may soon taper massive stimulus measures, analysts said.

London's benchmark FTSE 100 index sank 1.82 percent to stand at 6,715.83 points in midday deals, Frankfurt's DAX 30 slumped 2.36 percent to 8,329.66 points and in Paris the CAC 40 shed 2.18 percent to 3,962.61.

The Madrid market gave up 1.60 percent, Milan slid 2.44 percent and Stockholm dived 2.66 percent.

European equities were pulling back sharply after recent record and multi-year highs for some indices on the back of improving world economic data despite ongoing eurozone strains and some still weak numbers out of the United States and China.

Tokyo's main index ended down more than seven percent on Thursday as investors took profits also after strong recent gains.

Other Asian indices slumped, with markets taking their lead from Wall Street, where stocks fell overnight after Federal Reserve chief Ben Bernanke told Congress on Wednesday that the US central bank could scale back stimulus measures soon if economic conditions improved.

"Fed chairman Ben Bernanke's much anticipated testimony...certainly initiated the volatility" on stock markets, said Spreadex trader Max Cohen.

He added that while share prices initially rose after Bernanke spoke of a need to be cautious when winding down stimulus, sentiment changed when the Fed chief suggested that the US central bank's massive bond purchases could be scaled back in the next few policy meetings.

"To heap further bad news on the markets, China's manufacturing output unexpectedly contracted resulting in the yen strengthening," Cohen said.

The Tokyo market has gained in recent weeks from a weakening yen, which lifts demand for Japanese goods abroad, boosting the profits of exporting companies.

In foreign exchange activity, the European single currency climbed to $1.2886 from $1.2855 on Wednesday. The dollar slid to 101.60 yen from 103.10 yen.

The euro was higher despite news of a downturn in eurozone private sector business activity.

-- Reaction to Bernanke's testimony --

The Markit Eurozone Composite Purchasing Managers Index registered 47.7 points in May, a three-month high and well up on April's 46.9 points albeit still below the threshold of 50 points indicating growth or recession.

On the London Bullion Market, the price of gold dropped to $1,392.60 an ounce from $1,408.50 late in New York on Wednesday.

Meanwhile the slump in global share prices came also after HSBC bank said that manufacturing activity in China contracted in May for the first time for seven months in another sign of the weakness of the recovery.

Wall Street had ended lower on Wednesday following a choppy day of trading as the market weighed exit signals on the Federal Reserve's exceptionally loose monetary policy.

The Dow Jones Industrial Average dropped 0.52 percent, the broad-based S&P 500 gave up 0.83 percent and the tech-rich Nasdaq Composite Index sank 38.82 1.11 percent.

"The main focus is all about the reaction in the financial markets to Ben Bernanke's testimony," said Neil MacKinnon at VTB Capital financial group.

"In my view it says more about an equity market that is 'overheated' and due a correction rather than any suggestion from the Fed that monetary stimulus is about to be withdrawn," he wrote in a note to clients.

"To believe that the Fed is imminently about to tighten policy would be a mistaken assessment. Why do that when the US economy is in a soft patch and when CPI inflation is falling below target?" MacKinnon added.
http://www.lankabusinessonline.com/news/european-stocks-dive-after-tokyo-plunge/571280553

http://sharemarket-srilanka.blogspot.co.uk/

rishanpossitive


Manager - Equity Analytics
Manager - Equity Analytics
We are on this earth but luckily CSE is always different.

cseguide

cseguide
Vice President - Equity Analytics
Vice President - Equity Analytics
will not affect CSE

hawklk


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
Japan's Nikkei index plunges -1,143 that is -7.32% today from 15927 to 14,483.98.

A quote from the article
"The Japanese market is quite clearly overbought," said Max King, an investment strategist and fund manager at Investec Asset Management. "It went a long way in a short time and investors have moved to take profits in the short term."

Now consider Colombo ASPI

http://money.cnn.com/2013/05/23/investing/japan-nikkei-fall/index.html?iid=Lead

dineshfernando


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
Truly speaking at CSE only a very few shares went to new highs. Eg: JKH, NEST, CTC, LLUB. This will make the market overvalued.

Lots of other good fundamental shares haven't moved at all or moved a very little. Eg: LFIN, ALLI, NTB

However, when a correction happens the shares which were not moved will get severe hit than the overvalued shares. This is a very unfortunate situation in CSE.

noworries


Stock Trader
@dineshfernando wrote:Truly speaking at CSE only a very few shares went to new highs. Eg: JKH, NEST, CTC, LLUB. This will make the market overvalued.

Lots of other good fundamental shares haven't moved at all or moved a very little. Eg: LFIN, ALLI, NTB

However, when a correction happens the shares which were not moved will get severe hit than the overvalued shares. This is a very unfortunate situation in CSE.
No worries,we are firmly in control and index will be green.other shares are slowly entering one by one.

Sponsored content


Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum