Stock Markets Largely Falter

By Stewart Douglas

Stock markets across the world were largely down over the course of today after more bad news from the US housing market further dented investor confidence.

With US home sales down to a ten year low, markets in the US were understandably considerably down on the start of trading today, despite upwards momentum at the close of last week.

Meanwhile, European markets were buoyant in some respects, after the announcement the mining powerhouse Rio Tinto is to acquire Canada-based Alcan after getting the green light from antitrust authorities.

The Dow Jones index in New York was the major loser of the day, shedding 56.74 points over the course of trade.  The index currently stands at 13322.1.  Meanwhile the smaller, more tech-focused NASDAQ exchange was down by 15.44 points to 2561.3, while the S&P 500 was down 12.58 points to 1466.8.

In London, the FTSE 100 index went in the opposite direction off the back of increased trade momentum through the morning.  By the closing bell, London had gained 23.20 points, taking it back to 6220.1 at the end of play.

The German DAX 30 exchange was among those indexes badly affected by the US of the day, closing down 21.28 points to 7486.0.  After last week’s indication that German investors have lost confidence in the stock market, today’s trading news is not widely considered surprising.

In Paris, the leading French stock exchange the CAC 40 was up through the course of the day’s trade, coming to rest at 5990.5 - 21.16 points clear of the start of the morning.

Analysts are predicting that trade tomorrow will continue to be largely down off the back of the results from the US.  Particularly given the effect of takeover news in London, it is predicted that markets will return to a largely red trading screen all things remaining equal.