Asian stocks continue to fall

Asian stock markets fell for a third consecutive day Wednesday, beset by nerves about shaky global growth, falling oil prices and possible capital shortfalls at major European banks.

See Full Article

KEEPING SCORE: Japan's Nikkei 225 slid 3.8 per cent to 15,476.17 and is down about 12 per cent in the past month. Australia's S&P/ASX 200 shed 1.3 per cent to 4,771.70. Stock benchmarks also fell in Southeast Asia, India and New Zealand. Markets are closed in China, Taiwan, Hong Kong and South Korea for Lunar New Year holidays. Hong Kong and Korea reopen on Thursday and China and Taiwan resume trading on Monday.

BANK DOUBTS: Investors are questioning whether European banks such as Deutsche Bank have sufficient capital after a slump in its share price and a record annual loss. Despite assurances from the German bank, some analysts expect it will need to issue new shares to raise billions of dollars, which is likely to further depress its share price. Banks also face economic headwinds that could slow lending and hurt profits. Some are also exposed to the slump in oil prices via their loans to energy companies. The nerves in Europe have spread to banks worldwide. In Asia, Mizuho Financial was down 3.5 per cent in Tokyo and ANZ fell 1.9 per cent in Sydney.

THE QUOTE: "The central bank life support trade of the past eight years has now created this coma-like scenario where markets cannot return to normal trading," said Evan Lucas, market strategist at IG in Melbourne, Australia. "The artificial support from central banks is at a crossroads. Central bank intervention will no longer create the holding pattern of the past year. Markets now believe banks are out of ammunition," he said in a market commentary.

WALL STREET: U.S. stocks extended a losing streak Tuesday, closing slightly lower after spending most of the day wavering between gains and losses. The Dow Jones industrial average fell 12.67 points, or 0.1 per cent, to 16,014.38. The Standard & Poor's 500 slipped 1.23 points, or 0.1 per cent, to 1,852.21. The Nasdaq composite lost 14.99 points, or 0.4 per cent, to 4,268.76. The latest losses pulled the three indexes further down for the year. The Dow is off 8.1 per cent, the S&P 500 is down 9.4 per cent. The Nasdaq is off 14.8 per cent.

ENERGY: Brent crude, a benchmark for international oils, was up 73 cents at $31.05 a barrel in London. It fell $2.56, or 7.8 per cent, to close at $30.32 the day before. It was about $60 a barrel a year ago and $109 two years ago. Benchmark U.S. crude was up 61 cents at $28.55 a barrel in electronic trading on the New York Mercantile Exchange. The futures contract dropped $1.75, or 5.6 per cent, to close at $27.94 a barrel on Tuesday.

CURRENCIES: The euro rose to $1.1294 from $1.1289 the day before. The dollar fell to 114.50 yen from 114.95 yen.



Advertisements

Latest Economic News

  • Sobeys to sell refugee chocolatier's bars and boxes nationwide

    Economic CTV News
    A chocolate company founded by a Syrian refugee family in Antigonish, N.S. will soon be selling its products nationwide through Sobeys. After the Hadhad family’s Damascus chocolate factory was destroyed in a 2012 bombing, they fled to Lebanon where they spent three years in a refugee camp. Source
  • Alberta appeals court ruling ordering province to pay $2M over beer subsidy

    Economic CTV News
    EDMONTON -- Alberta has served notice it will appeal a court ruling ordering the province to pay just over $2 million to two out-of-province breweries over a disputed beer subsidy. The government filed the notice in Court of Queen's Bench on Monday. Source
  • Twitter suspended 58 million accounts in fourth quarter

    Economic CBC News
    Twitter suspended at least 58 million user accounts in the final three months of 2017, according to data obtained by The Associated Press. The figure highlights the company's newly aggressive stance against malicious or suspicious accounts in the wake of Russian disinformation efforts during the 2016 U.S. Source
  • Owner of Las Vegas casino where shooter stayed sues survivors of gun massacre

    Economic CBC News
    MGM Resorts International has sued hundreds of victims of the deadliest mass shooting in modern U.S. history in a bid to avoid liability for the gunfire that rained down from its Mandalay Bay casino-resort in Las Vegas. Source
  • Owner of Las Vegas casino sues survivors of gun massacre

    Economic CBC News
    MGM Resorts International has sued hundreds of victims of the deadliest mass shooting in modern U.S. history in a bid to avoid liability for the gunfire that rained down from its Mandalay Bay casino-resort in Las Vegas. Source
  • NAACP lifts travel advisory against American Airlines

    Economic CTV News
    WASHINGTON -- The NAACP is lifting its travel advisory against American Airlines, saying the company is making improvements that address worries about African-Americans being subject to discrimination or even unsafe conditions while flying. NAACP President Derrick Johnson made the announcement at the NAACP's national convention in San Antonio, Texas. Source
  • A founder of WestJet and JetBlue commits to order 60 A220s for new U.S. airline

    Economic CBC News
    David Neeleman, one of the founders of WestJet Airlines Ltd. and JetBlue Airways Corp., has committed to buy 60 Airbus A220-300 aircraft for a new U.S. airline he's launching. A memorandum of understanding for the aircraft which was developed by Bombardier Inc. Source
  • Netflix shares plunge as streaming company sees 'hiccup' in subscriber growth

    Economic CBC News
    Netflix stocks fell more than 14 per cent Tuesday after the company announced it added fewer subscribers in the second quarter than analysts were expecting. The company also downgraded its expectations for the third quarter, but analysts are calling the results a hiccup and say the company remains a compelling investment opportunity in the long run. Source
  • Salt miners in Goderich, Ont., vote to end 12-week strike

    Economic CTV News
    GODERICH, Ont. -- Workers at a salt mine in Goderich, Ont., have accepted a new collective agreement, ending a 12-week strike. Unifor says members of Local 16-O voted Monday to accept the agreement with their employer, Compass Minerals. Source
  • U.S. and Canadian stocks creep higher at late-morning, loonie lower

    Economic CTV News
    TORONTO - Canada's main stock index crept higher in late-morning trading, while the loonie moved lower compared with the U.S. dollar. The Toronto Stock Exchange's S&P/TSX composite index was up 3.35 points to 16,498.08, after 90 minutes of trading. Source