Monday 19 March 2018

US bucks trend as world markets fall

Traders work at XP Investimentos brokerage in Sao Paulo, Brazil. Photo: Reuters
Traders work at XP Investimentos brokerage in Sao Paulo, Brazil. Photo: Reuters

John Mulligan and Reuters

Global equity markets outside the United States fell yesterday after days of gains, as concerns about the Chinese and Japanese economies cast a cloud over the world growth picture.

But stocks in the United States rose, and oil prices recovered after a fall on Wednesday.

The FTSEurofirst300 index of top European shares was set to fall 1pc, ending a three-day rally.

European companies exposed to Brazil also saw their shares fall after Standard & Poor's cut the South American country's rating to junk grade.

In Ireland, the Overall ISEQ Index didn't escape the wider European declines, edging 0.54pc, or 35.30 points, lower to end the session at 6,494.76.

Shares in hotel group Dalata gained 1.2pc a day after it posted strong interim results and confirmed that it plans to raise €160m in equity and up to an additional €80m in debt to fuel hotel purchases, refurbishments and new builds.

Shares in Ryanair were almost unchanged at €13.70, following a strong performance on Wednesday when it boosted its profit guidance for the full financial year.

The UK's FTSE-100 slipped 1.2pc to 6,155.81 after some Bank of England policymakers suggested that inflation may rise quicker than forecast. That sent sterling to a two-week high.

Germany's DAX was 0.9pc lower yesterday, while France's CAC-40 fell 1.46pc. German utility E.ON fell 7.6pc after saying it would book a significant net loss in 2015.

UK high street retailer Next rose 1.3pc after Britain's second-largest clothing chain by sales posted a 7.1pc rise in first-half profit.

Irish Independent

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