Contact Us
Make My Homepage

World Markets Lackluster as China’s Growth Slows

Business Roundup for Friday, January 17.

World markets were lackluster Monday after a report showed China’s economic growth slowing and poor earnings from Germany’s largest bank.

ConocoPhillips oil refinery in Trainer, Pennsylvania
ConocoPhillips oil refinery in Trainer, Pennsylvania.(Jessica Kourkounis/Getty Images)

Trading on Wall Street will remain closed on Monday for Martin Luther King Day.

Analysts said the U.S. corporate reporting season will be in focus when Wall Street reopens Tuesday after some disappointing earnings so far. Markets will also be cautious ahead of the Federal Reserve’s next meeting on Jan 29.

China’s economy grew 7.7 percent in the quarter through December, down from 7.8 percent the previous quarter. For the full year, the economy expanded 7.7 percent, tying 2012 for the weakest performance since the 1990s.

China’s growth is far stronger than the United States, Japan or Europe. But an unexpectedly abrupt decline from the double digit rates of the previous decade has complicated the ruling Communist Party’s plans to promote more sustainable growth based on domestic consumption and reduce reliance on trade and investment.

“The ‘boom’ is ending, but sustained demand is just as important,” said Evan Lucas, market strategist with IG in Melbourne, Australia.

By midafternoon in Europe, Britain’s FTSE 100 was flat at 6,831.42 and France’s CAC 40 shed 0.2 percent to 4,319.37. Germany’s DAX dropped 0.4 percent to 9,700.85, led by a 5 percent fall in Deutsche Bank, which said it would book an unexpected loss in the fourth quarter. The report caused shares in financial companies across Europe to underperform the wider market.

In Asia, Japan’s Nikkei 225 sank 0.6 percent to 15,641.68 and China’s Shanghai Composite index slipped 0.7 percent to 1,991.25. Hong Kong’s Hang Seng shed 0.9 percent to 22,928.95. Australia’s S&P/ASX 200 was down 0.2 percent at 5,295.

Benchmark crude for February delivery was flat at $93.96 in electronic trading on the New York Mercantile Exchange. The contract rose 41 cents to settle at $94.37 on Friday.

The euro rose 0.2 percent to $1.3558 while the dollar fell 0.2 percent against the Japanese yen, to 104.06 yen.


(Copyright 2014 The Associated Press. All Rights Reserved)

Best of the Web


Leave a Comment

It appears that you already have an account created within our VIP network of sites on . To keep your points and personal information safe, we need to verify that it's really you. To activate your account, please confirm your password. When you have confirmed your password, you will be able to log in through Facebook on both sites.

Forgot your password?

*Please note that your points, prizes and activities will not be shared between programs within our VIP network.

It appears that you already have an account on this site associated with . To connect your existing account with your Facebook account, just click on the account activation button below. You will maintain your existing profile and VIP program points. After you do this, you will be able to always log in to http://nj1015.com using your Facebook account.

*Please note that your points, prizes and activities will not be shared between programs within our VIP network.

Please fill out the information below to help us provide you a better experience.

Register on New Jersey 101.5 quickly by logging in with your Facebook account. It's just as secure, and no password to remember!

Not a Member? Sign Up Here.

Sign up for an account to comment, share your thoughts, and earn points to get great prizes.

Register on New Jersey 101.5 quickly by logging in with your Facebook account. It's just as secure, and no password to remember!