Black Friday: Asian Markets Walloped After Dubai World
Asian stock markets followed yesterday’s European stock markets and US futures markets straight down.
Yesterday, European markets saw their biggest one-day losses since March. Dow Jones Industrial Average futures were off 187 points.Everyone is talking about the effects of Dubai World asking creditors for an extension on its debt.
So here’s a quick whip around what happened when Asia woke up to its first day of trading following the Dubai World news.
- Japan’s Nikkei 225: down 2.0%.
- Australia’s S&P/ASX 200: down 2.5%.
- New Zealand’s NZX-50: down 1.3%.
- South Korea’s Kospi Composite: down 2.1%.
More on the impact on financials, commodities and currencies here from the Wall Street Journal.
Just How Scroomed Are HSBC And Standard Chartered On Dubai’s Default?
US Futures Plunge 2% On Dubai Default News
Potential Dubai Default Rocks Financial Markets, While Dollar Soars On Panic Buying
From Times Online:
Dubai in deep water as ripples from debt crisis spread
By
Fears of a dangerous new phase in the economic crisis swept around the globe yesterday as traders responded to the shock announcement that a debt-laden Dubai state corporation was unable to meet its interest bill.
Shares plunged, weak currencies were battered and more than £14 billion was wiped from the value of British banks on fears that they would be left nursing new losses.
