Around the World's Markets:London
Thursday 20 May 1999
US STOCKS shrugged off the shift of emphasis towards higher interest rates in the Fed's monetary policy and the Dow Jones was slightly up at mid-day, led by activity in a handful of high-profile technology stocks.
Dell Computer was the most actively traded stock, falling $4 3/16 to $39 7/8 after reporting a dip in gross margins, but semi-conductor maker Applied Materials and Internet portal Lycos were in demand. Airline stocks fell sharply on reports of falling seat revenues.
THE NIKKEI 225 index fell a further 250.44 to 16,128.18 - 1.53 per cent - as a result of profit-taking largely blamed on hints from the Federal Open Markets Committee meeting in the United States yesterday that a rise in interest rates is being considered.
Japanese bank stocks came under additional pressure after a report claimed the doubtful loan portfolio of 15 leading banks could be closer to 20 trillion yen compared with 14 trillion under previous calculations. Sumitomo, Fuji and Tokyo-Mitsubishi all fell by more than 3 per cent.
THE CHANGE of emphasis in US monetary policy sent shares in Hong Kong sharply lower, although the Hang Seng closed above its worst at 12,403.14, down 223.96 points or 1.77 per cent.
Dealers said the link between the Hong Kong and US currency means that Hong Kong would be forced to follow a rise of a half per cent or more in US rates.
HSBC closed 3.00 lower at HK$257.00 while Hang Seng Bank fell 4.00 to HK$81.00. Sun Hung Kai Properties, China Resources and Hutchison Whampoa also fell.
SHARES in Preussag, the former steel and engineering group now relaunched as a tourism specialist, led the German markets higher, jumping 6.2 per cent to 48.86 euros after clinching the disposal of plant construction businesses and shipyard in an asset swap with Babcock. MAN continued to gain ground and ThyssenKrupp gained 3.5 per cent to 18.95 euros after recent weakness, Deutsche Telekom forged ahead in sympathy with BT, but banks and motors were mixed. The Xetra Dax index closed 1 per cent higher at 5,213.30.
Ian McKellen and Patrick Stewart bromance continues: X-Men star gushes about 'pussy cat' BFF Patrick Stewart
David Cameron stung by jellyfish: PM hurt after ignoring advice of locals while on holiday
South Korea ferry: Vice principal rescued from sinking ship found hanged
Hollande's affair: Catherine Deneuve and Sophie Marceau in war of words over President's relationship with Julie Gayet
Kim Jong-un, crowds and contraband kit: Inside North Korea with the the Pyongyang marathon winner
The food poverty scandal that shames Britain: Nearly 1m people rely on handouts to eat – and benefit reforms may be to blame
US Navy christens huge $3 billion destroyer ship USS Zumwalt that appears as a fishing boat on enemy radar
Scottish independence: It is the English who should be on their knees, begging the Scots to vote ‘No’
Nigel Farage fatigue? Half of voters ‘immune’ to Ukip’s appeal
Nigel Farage: I’m taking on the status quo, and the Establishment’s fighting back
Refugee facing deportation from Sweden saved by fellow passengers refusing to let plane leave
- 1 KFC 'sorry' after lesbian couple are kicked out of Bath restaurant for 'heavy petting'
- 2 Dylan Tombides: West Ham confirm 20-year-old striker has died after battle with cancer
- 3 24 people applied for the 'world's toughest job', here are their interviews
- 4 'Sinful': Video of British Muslims dancing to Pharrell Williams's hit Happy comes under attack
- 5 PFA Player of the Year: Luis Suarez, Daniel Sturridge and Steven Gerrard all nominated as Liverpool dominate award shortlist
iJobs Money & Business
£150.00 per week: QA Apprenticeships: This company has been providing on site ...
£221.25 per week: QA Apprenticeships: This company is a well established Inter...
£40000 - £50000 per annum: Harrington Starr: Client Relationship Manager - SQL...
£35000 - £50000 per annum: Pro-Recruitment Group: Take your chance to join the...