Wall Street fails to sustain global rally
A global stock market rally stumbled on wall street as investors woke up to sobering economic data from the united states and Europe and more grim corporate forecasts.business Updated: Nov 15, 2008 09:29 IST
A global stock market rally stumbled on wall street as investors woke up to sobering economic data from the united states and Europe and more grim corporate forecasts.
The rally that began in New York on Thursday had sparked gains in most global markets on Wednesday amid a sense that stocks had found a "bottom",but a number of analysts remained cautions in the face of the glum data.
The Dow Jones industrial Average sank 337.94 points (3.82 per cent)to close at 8,497.31, giving back most of Thursday's 552-point surge.
The Nasdaq composite tumbled 5.00 per cent to 1,516.85 and the standard and poor's 500 index dropped 4.17 per cent to 873.29.
In Europe,by contrast,the London FTSE 100 index of leading shares gained 1.53 per cent to close at 4,232.97.
The Paris CAC 40 added 0.67 per cent to finish at 3,291.47,as the French economy reported to have barely escaped recession in the third quarter, while in Frankfurt the SAX rose 1.31 per cent to 4,710.24
In Washington the commerce department reported that US retail sales tumbled a record 2.8 per cent in October as consumer hunkered down in the face of a sharply slowing economy.
The Spanish economy posted negative growth of 0.2 per cent in the 3rd quarter, signaling a definitive end to a 15-year boom fueled by the housing market and a likely slide into recession by the end of the year