AP - World stock markets fell Monday as some investors worried that the three-month rally in share prices may not be justified by economic indicators and as the dollar was boosted by comments this weekend from Russia's finance minister.
LONDON: Oil hit four-month lows on Monday after a steep drop in Chinese stock markets spread concerns about the economic health of the world's biggest energy consumer and more evidence emerged of a global supply glut. Chinese stocks tumbled more than 8 percent on Monday, the biggest one-day drop in eight years, showing an unprecedented government rescue effort to prop up valuations has run out of steam. "Today's oil price fall has been driven by the slump in Chinese stock markets," said Carsten Fritsch, senior oil market analyst at Commerzbank in Frankfurt.
NEW YORK: The US dollar fell on Monday and gold continued to rise as markets priced the possibility that the Federal Reserve would not begin a tightening cycle this year, while US stocks opened little changed. Speaking at the annual autumn meeting of the IMF and World Bank in Lima, Peru on Sunday, Federal Reserve vice-chairman, Stanley Fischer, said policymakers are still likely to raise interest rates this year but that is "an expectation, not a commitment", and could change if the global economy pushes the US economy further off course.
Wall Street was lower on Monday afternoon as investors worried that the Federal Reserve may start raising interest rates in September, although a rally in oil boosted energy stocks. The market was poised for its worst monthly drop over three years after being pummeled in the past two weeks due to worries about the health of China's economy and the timing of the first U.S. rate hike in almost a decade. Comments on Saturday by Fed Vice Chairman Stanley Fischer added to fears that the central bank may raise rates when it meets next month. Fischer said U.S.
TOKYO: Volatile global markets showed signs of a respite from the recent blood-letting on Tuesday, as bargain hunters helped Asian stocks off three-year lows hit on fears that China's economy was risking a hard landing, with Chinese shares losing another 5 per cent. The MSCI's broadest index of Asia-Pacific shares outside Japan jumped 1.7 per cent after an initial dip to three-year lows while Japan's Nikkei index also erased most of its early losses after an intial drop of 4.3 per cent. "There appears to be buyback as many markets look oversold after panicky selling in the last few days.
NEW YORK: Global equity markets eased on Monday after a cut in Chinese interest rates initially kept shares near record highs, but a lack in progress in resolving Greece's financial woes weighed on stocks and weakened the euro against the dollar. Gains by mining stocks helped to support some European equities after the rate cut in China, the world's biggest consumer of copper and other metals. But signs that US shale oil production was recovering sent oil prices lower and made energy the biggest losing sector on the benchmark S&P 500.