Stocks, Commodities Drop; Inflation Data Heightens Rate Concern
June 13 (Bloomberg) -- Stocks worldwide slumped and commodities fell on concern central banks will keep raising interest rates to curb inflation, slowing economic growth.
``There is fear that more rate increases are to come than previously expected,'' said Matthias Fankhauser, a fund manager at Bank Hofmann AG in Zurich, which oversees the equivalent of $18 billion. ``We are seeing signs of growing inflation coupled with slowing growth. That is what the market is bracing itself for.''
Anglo American Plc and Rio Tinto Group, the world's second- and third-largest mining companies, led the decline in Europe as metals prices fell. Honda Motor Co. and Samsung Electronics Co. paced a drop by exporters in Asia. Emerging markets tumbled, especially in Russia and Eastern Europe.
The drop in U.S. stocks was limited. Earnings from Best Buy Co. topped analysts' estimates and Qualcomm Inc. raised its third-quarter profit and sales forecasts.
Europe's Dow Jones Stoxx 600 Index slid 1.9 percent to 302.59, a six-month low. Japan's Nikkei 225 Stock Average and Australia's S&P/ASX 200 Index had the biggest point losses since September 2001.
Gold prices fell below $600 an ounce for the first time in almost two months. Gold for immediate delivery declined as much as $17.50 an ounce, or 2.9 percent, to $586.75.
Copper for three-month delivery on the London Metal Exchange lost as much as $440, or 6.3 percent, to $6,600 a ton, the lowest since April 21. Crude-oil futures traded in New York dropped $1.11 a barrel, or 1.6 percent, to $69.25.
June 13 (Bloomberg) -- Stocks worldwide slumped and commodities fell on concern central banks will keep raising interest rates to curb inflation, slowing economic growth.
``There is fear that more rate increases are to come than previously expected,'' said Matthias Fankhauser, a fund manager at Bank Hofmann AG in Zurich, which oversees the equivalent of $18 billion. ``We are seeing signs of growing inflation coupled with slowing growth. That is what the market is bracing itself for.''
Anglo American Plc and Rio Tinto Group, the world's second- and third-largest mining companies, led the decline in Europe as metals prices fell. Honda Motor Co. and Samsung Electronics Co. paced a drop by exporters in Asia. Emerging markets tumbled, especially in Russia and Eastern Europe.
The drop in U.S. stocks was limited. Earnings from Best Buy Co. topped analysts' estimates and Qualcomm Inc. raised its third-quarter profit and sales forecasts.
Europe's Dow Jones Stoxx 600 Index slid 1.9 percent to 302.59, a six-month low. Japan's Nikkei 225 Stock Average and Australia's S&P/ASX 200 Index had the biggest point losses since September 2001.
Gold prices fell below $600 an ounce for the first time in almost two months. Gold for immediate delivery declined as much as $17.50 an ounce, or 2.9 percent, to $586.75.
Copper for three-month delivery on the London Metal Exchange lost as much as $440, or 6.3 percent, to $6,600 a ton, the lowest since April 21. Crude-oil futures traded in New York dropped $1.11 a barrel, or 1.6 percent, to $69.25.
โพสต์
บันทึกไม่สำเร็จ