Collapse of the building. Wall Street ends in red as European markets

Aug 24

Posted by ReD as News

The fall in sales of new homes in the United States has knocked the equity markets worldwide. On Wall Street the Dow Jones closed down 1, 32% at 10,040.23 points, the Nasdaq, 1, 66% at 2123.76 points while the S & P 500, 1, 45% at 1051.90 points . Recovered in the final but ended up in Piazza Affari also decided downward, with the FTSE Mib who left the field one, 58% below 20 000 points, well down the FTSE All Share IT, -1.58% to 20,218 points. European stocks also hurt all, influenced by data on sales of existing homes in the United States, published in the afternoon and result ever so low in May 1995.

Piazza Affari. The Bombay Stock Exchange came to lose more than 2.5% in late afternoon, shortly after the release of the numbers on the U.S. housing market, before recovering in the final, returning to levels of the morning. The weak banking sector, weighed down by a report by Goldman Sachs this week that will end the spread of semi-annual (expectations are those of Intesa Sanpaolo Banco Popular, UBI Banca and Banca Pop I). Evil cement and construction after warning on revenues of 2010 launched by the Irish CRH. Down industrial and energy, while positive signs on the main basket found only in luxury and between the defensive. Growth in trade, amounting to 2.1 billion equivalent.

Euro at record low on the Swiss franc. The euro touched lows on the Swiss franc. The single currency fell to 1.3067 francs, its lowest level since the euro in 1999.

Home sales slump in the U.S.. In July U.S. sales of existing homes fell by 27.2% compared to June, the lowest level in 15 years.

According to data released by National Association of Realtors, sales reached an annual pace of 3.83 million units, the lowest since May 1995. The expectations of economists, however, were for a decline of 12% at an annual rate of 4.7 million units. The average price, however, rose by 0.7% annually to $ 182,600. The data show housing market - said White House spokesman, Bill Burton - the need to do more for the economy. "The numbers from the real estate industry do nothing but reinforce the idea that the sector is sliding into a new recession, some analysts note. The findings on the health of the U.S. housing market shake even more investors, already concerned about the global economic recovery. Despite the strong performance of corporate earnings and the resumption of merger and acquisition, economic data continues to disappoint, and investors fear that if we continue on this path the economy might slip back into recession.