Global stocks are falling because of rising prices and the fear of selling money
Currencies plummeted in Europe and Asia-Pacific on Thursday as inflation in the US that shook Wall Street in the past was disrupted in global market markets.
The European index of the Stoxx 600 fell 0.8% in the first quarter, while the UK FTSE 100 fell 1.3 percent.
Japan’s Topix closed 1.5% down, down from weekly losses to 4.4 percent. China’s CSI 300 index for Shanghai- and Shenzhen in both stocks fell 1.2%. All other major Asian expeditions were also in red.
The losses occurred after official US demonstrations were reported inflation rose by 4.2 percent year after year in April, prices are rising at a much faster rate than economists predict.
Reading volatile markets, The S&P 500 closed 2.2%, the most dangerous performance on Wall Street in the day since February.
The prospect of higher inflation can upset the stock market and debt because it lowers real profits from fixed or fixed interest rates, sending stock prices and bonds down.
U.S. 10-year U.S. economy yields, which move in different directions, rose in New York stocks Wednesday before settling in Europe’s first meeting of 1.674%, down 0.03 percent.
Wednesday’s news also raised speculation that the US Federal Reserve, the world’s largest bank, could extend its $ 120bn bond-buying bond that has helped financial markets since last March.
A Federal Reserve official this week reduced the risk of rising prices if “temporary increase“.
“The Fed’s insistence that the economic downturn is not limited to a few people,” said Tai Hui, chief Asian market manager at JPMorgan Asset Management. “But if the rise in inflation does not improve over the next few months, the issue of fidelity could be seriously undermined.”
Technical stocks were hit hardest in the US, while the Nasdaq was down 2.7 percent. They also weakened Europe and Asia. The increase in the share has grown exponentially during the epidemic as families were shut down and chatted online, but now appear to be at greater risk for market preparation.
In Hong Kong, Tencent and Alibaba both dropped by more than 2 percent. SoftBank which is on the technical list in Tokyo lost 2.7 percent even though it wrote the greatest recorded benefit to a Japanese company yesterday. Stoxx technical index fell 1 percent.
Taiie’s heaviest plan in Taiex fell about 3.4 percent before most of the losses occurred. A sign of the world too suffered this week on the restart of Covid-19.
Much of the rise in prices in the US came after the global period commodity prices jumped, due to its high demand and strong availability. Advertisers also see it as a barrier against rising prices. Metal stones prices hit record levels in dollars on Monday.
Continuing imports pushed China to the price of manufacturing – the inflation rate at factory gates – to the highest in three years in April, even inflation in the country has not dropped by 1 percent.
On Thursday, several items including iron ore and crude oil fell. Brent crude global oil prices fell by 1.4% to $ 68.33 per barrel. US colonial pipelines, which carry oil across the country, resumed work Wednesday closed last Friday with a cyber attack.
Gold rose by 0.2% to $ 1,819.76 per troy ounce.