Around the World's Markets
Saturday 16 January 1999
THE BRAZILIAN currency float helped blue chips stage a strong recovery. Footsie, down 83.4 points at one time, ended 120.8 up at 5,941 in heavy trading as share turnover again topped 1.1 billion. But supporting shares remained in negative territory.
Following its upbeat trading statement, Great Universal Stores attracted analytical support, gaining 77p to 684p. Telewest Communications was also helped by forecasts, improving 22.5p 240.5p. Tesco rose 8.75p to 195.5p.
Derek Pain, page 20
THE Hang Seng index closed 35.73 points lower at 10,147.40 as interest rates rose slightly in response to Wall Street's heavy fall on Thursday.
With Tokyo closed for a holiday in Japan and New York set to be shut on Monday for Martin Luther King day, traders said sentiment was cautious. A 5 per cent rise in the China-affiliated "red-chip index" was attributed to bottom fishing after losses earlier this week. But a 2.5 per cent fall in banking giant HSBC, one of the few Hong Kong stocks with Brazil exposure, was responsible for 65 points of the fall.
SHARES IN Frankfurt, like other major European bourses, ended higher yesterday, spurred on by gains in the US and Brazilian markets.
The electronic DAX Xetra closed up 1.45 per cent at 4,973.78, while the floor DAX ended 0.97 per cent higher at 4,960.22. Banks, which bore the brunt of Brazil-related losses earlier in the week, generally ended higher. Deutsche Bank closed up 3.35 per cent, while shares in rival Commerzbank gained 1.7 per cent.
SHARES STAGED a spectacular recovery following confirmation that the Brazilian Central Bank would let its currency float freely. By the early afternoon, the Bovespa index was more than 25 per cent higher at 6,364.11.
Analysts said a freely floating real would remove the need for higher interest rates and could help avert a protracted recession.
The Brazilian real stabilised at 1.50 to the dollar, having plunged more than 10 per cent after the central bank said it would not intervene in the currency markets.
- 1 President of Argentina adopts Jewish godson to 'stop him turning into a werewolf'
- 2 ALS ice bucket challenge co-founder Corey Griffin drowns, aged 27
- 3 Stoke-on-Trent becomes first British city to be classified as 'disaster resilient' by the United Nations
- 4 Sir Winston Churchill’s family begged him not to convert to Islam, letter reveals
- 5 AirAsia flight QZ8501 missing: Search for plane carrying 162 passengers from Indonesia to Singapore suspended overnight
President of Argentina adopts Jewish godson to 'stop him turning into a werewolf'
Exclusive: Abusers using spyware apps to monitor partners reaches 'epidemic proportions'
UK weather: Warning for more snow and ice as freezing temperatures and gales hit Britain
Stoke-on-Trent becomes first British city to be classified as 'disaster resilient' by the United Nations
AirAsia flight QZ8501 missing: Search for plane carrying 162 passengers from Indonesia to Singapore suspended overnight
British actor Idris Elba cannot star as James Bond because he is black, says shock jock Rush Limbaugh
Millions of Britons struggling to feed themselves and facing malnourishment
Ukip member gets into Christmas spirit with Union Flag plea to Santa 'for our country back'
Germany anti-Islam protests: 17,000 march on Dresden against 'Islamification of the West'
Nigel Farage: Ukip leader named 'Briton of the year' by The Times
Immigrants make UK racist, says Ukip councillor Trevor Shonk
iJobs Money & Business
Not specified: Selby Jennings: VP/SVP Credit Quant Top tier investment bank i...
Not specified: Selby Jennings: Quantitative Research | Global Equity | New Yor...
Not specified: Selby Jennings: SVP Model Validation This top tiered investment...
Highly Competitive: Selby Jennings: Our client, a leading European Oil trading...