This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7274309.stm
The article has changed 6 times. There is an RSS feed of changes available.
Version 0 | Version 1 |
---|---|
Stock markets fall on US worries | |
(about 1 hour later) | |
European and Asian stock markets have fallen as investors continue to worry about a possible US recession. | |
All the main markets fell after sharp declines in US stocks were seen on Wall Street on Friday. | |
London's benchmark FTSE 100 index dropped 1.4% to 5,805.6 in early trade. German and French shares fell too. | |
Earlier, Tokyo's Nikkei index had closed down 4.5% on fears that the weak US dollar would make Japan's US exports more expensive and hurt demand. | |
The weakening dollar fell to its lowest level against the yen for three years. In early trading in Tokyo it was as low as 102.90 yen. It later recovered to 103.20 yen. | |
The Nikkei 225 closed down 610.84 points at 12,992.18, its lowest level for six weeks. | |
Shares of big exporting companies such as Toyota and Honda suffered large falls. | |
"What you have seen in Japan reflects in part the strength of the currency. When the currency goes up sharply in an exporting nation, that is pretty bad for the shares," Charlie Morris from HSBC Investments told the BBC. | "What you have seen in Japan reflects in part the strength of the currency. When the currency goes up sharply in an exporting nation, that is pretty bad for the shares," Charlie Morris from HSBC Investments told the BBC. |
Shares in car maker Honda fell 5.8% to 3,070 yen and rival Toyota's shares were 3.3% down at 5,560 yen. | Shares in car maker Honda fell 5.8% to 3,070 yen and rival Toyota's shares were 3.3% down at 5,560 yen. |
"Investor fears of a US recession have strengthened. There is even a growing view that the US economy has already entered into a recession," said Ryohei Muramatsu of Commerzbank in Tokyo. | "Investor fears of a US recession have strengthened. There is even a growing view that the US economy has already entered into a recession," said Ryohei Muramatsu of Commerzbank in Tokyo. |
In Hong Kong, the benchmark Hang Seng index ended the day down 3.1% at 23,584.97. |