Global  

Trusted News Discovery Since 2008
One News Page
One News Page > News Videos > STOXX Europe 600 > Stocks tumble again as Fed rate cut fails to offer comfort

Stocks tumble again as Fed rate cut fails to offer comfort

Video Credit: Reuters Studio - Duration: 01:58s - Published < > Embed
Stocks tumble again as Fed rate cut fails to offer comfort

Stocks tumble again as Fed rate cut fails to offer comfort

Global stocks tumbled again on Monday despite concerted efforts by central banks to reassure markets.

Julian Satterthwaite reports.

0
shares
ShareTweetSavePostSend
 

Stocks tumble again as Fed rate cut fails to offer comfort

Global central banks pulled out all the stops over the weekend, in a bid to calm panic on markets.

The U.S. Federal Reserve got the ball rolling with a rate cut, with banks in New Zealand, Japan, South Korea and Australia all then acting.

It hasn't worked.

After Asian markets saw declines of 3-4% Monday (March 16), the picture in Europe looked even grimmer.

Benchmark indexes there all fell 6% or more in the first hour of trade.

The regional Stoxx 600 was off as much as 8%, touching lows not seen since 2012.

It's now lost more than a third of its value from February's peak.

Travel-related shares again took the brunt of the selling.

British Airways-owner IAG dropped as much as 20%.

Holiday operator TUI was down 30%.

But as fears of a virus-driven global recession rise, no sector looks immune.

Banks including Barclays and Societe Generale fell as much as 15%.

Analysts like Baader Bank's Robert Haalver want more action from governments: (SOUNDBITE) (German) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, SAYING: "What's important in Europe now is for the demand side to get support.

We need income security now.

Just think of the many freelancers who are worried that they will no longer have an income.

They are already making savings, deepening the crisis." The concern over an economic slowdown also meant a fresh drop for oil prices.

International benchmark Brent crude was off close to 8% in early European trade, putting oil shares under fresh pressure.

The slide in equity prices sparked predictable gains for perceived safe havens.

Gold, the Japanese yen and U.S. government bonds all saw gains.

But the trouble for investors is that no one knows how long this crisis will last - one month, many months, or longer.

The relentless slide in stock prices suggest many are assuming the worst.




You Might Like


Tweets about this

BamboosLtd

Bamboos Consulting Bamboos Consulting presents Stocks tumble again as Fed rate cut fails to offer comfort - See https://t.co/F1lrWf2BtX for more 1 day ago


Recent related videos from verified sources

Markets Plunge 12% Into the Close - 3 Things to Know in Stocks Going Forward [Video]

Markets Plunge 12% Into the Close - 3 Things to Know in Stocks Going Forward

The Federal Reserve rate cut is still useful. Stocks may fall more before they rise again. A rebound in stocks may be a strong one.

Credit: The Street     Duration: 02:02Published
Environmentally friendly: One News Page is hosted on servers powered solely by renewable energy
© 2020 One News Page Ltd. All Rights Reserved.
About us  |  Contact us  |  Disclaimer  |  Press Room  |  Terms & Conditions  |  Content Accreditation
 RSS  |  News for my Website  |  Free news search widget  |  In the News  |  DMCA / Content Removal  |  Privacy & Data Protection Policy
How are we doing? FeedbackSend us your feedback  |   LIKE us on Facebook   FOLLOW us on Twitter  •  FOLLOW us on Pinterest
One News® is a registered trademark of One News Page Ltd.