Breaking News

Equities and yields plummet as risk aversion surges

News Date: 24/2/2016 09:06:27
 
World stock indexes recorded deep losses on Wednesday due to tumbling oil prices and fears over a British exit from the European Union, which is expected to rock the regional economy for several years. Additionally, a spate of weak data from Asia and Britain today sapped investors' confidence, sending them towards safe havens.

The pan-European index FTSEurofirst 300 plunged 2.10% to a one-week low at 1,261, taking it away from the level of 1,300 again. Germany's DAX index slumped 220 points, or 2.35%, underperforming the wider European market. On the other hand, Britain's FTSE100 index resisted the headwinds, sliding just 80 points, or 1.33%, easily outperforming the wider market to trade lat at 5,883.

Oil prices took a hit on lost hopes of any near production cut from major producers, with Brent crude futures falling 55 cents, or 1.70% to hover around $32.70 a barrel, while U.S. West Texas Intermediate (WTI) crude futures lost nearly a dollar, or more than three percent to trade at $30.89 a barrel.

Yields from U.S. government bonds tumbled today as investors crowded to buy the safe havens, with the two-year yield falling 2.61% to 0.727. The five-year yield dived 3.76% to 1.174, and finally, the ten-year note yield gave up about three percent to 1.693.

Precious metals rose handily as well today, buoyed by the turmoil in the stock markets, with gold futures climbing 21 dollars, or 1.72% to trade at $1,243 an ounce, while silver futures gained 25 cents, or 1.70% to $15.49 an ounce. Conversely, copper futures dropped 1.35% to $2.076 a pound.

Latest news

Oil still faces the challenges behind the imbalances between supply and demand due to the economic deterioration, as Brent crude futures rose 0.54% this morning to be traded at $ 43.12, while futures
07-2020 15 05:51:44

Advertising sources reported that the number of confirmed cases of Covid virus 19 reached 12 million and 800 thousand cases, as the largest number of infections was recorded with a total of 839,850 c
07-2020 13 03:43:07

On Friday, oil prices continued to harvest more losses, retreating to the lowest levels, with the high rate of coronavirus infections in the United States of America, and due to fears of isolation an
07-2020 10 06:16:09

Oil prices fell today, Wednesday, after the increase in crude inventories, which increases the fears of supply. Therefore, it is expected that US crude production will decline by 600 thousand barrels
07-2020 08 08:20:53

Corona virus infection in the United States of America reached its maximum, reaching two million, 840 thousand and 906 cases, according to the Centers for Disease Control yesterday, after it recorded
07-2020 06 00:36:17

More News

Logs

Advertisements