European shares keep falling
Aftershocks from the global stock selloff continued to reverberate around markets on Thursday, with European shares falling, Asian equities rising and U.S. futures swinging from a loss to a gain. China’s yuan at one point dropped the most since August 2015.
The Stoxx Europe 600 Index declined, with miners leading the retreat as most country benchmarks in the region fell. Earlier, shares in Japan closed higher after a turbulent session while China’s stocks fell for a third day, even as Hong Kong equities climbed. S&P 500 Index futures rose after dropping early in Asian trading.
The pound slipped before a Bank of England rate decision, and the euro weakened as ECB member Jens Weidmann said the central bank will monitor the impact of the currency on inflation.
In Asia, the yuan earlier fell the most since the currency’s devaluation in August 2015 after China reported a much narrower-than-expected trade surplus as imports jumped. The country has resumed its Qualified Domestic Limited Partnership plan after a twoyear halt, granting licenses to about a dozen global money managers that can raise funds in China for overseas investments, Reuters reported on Thursday, citing people it didn’t identify. Increasing imports and investment overseas both contribute to a weaker currency.
The Stoxx Europe 600 Index declined 0.5 percent as of 9:46 a.m. London time. Futures on the S&P 500 Index rose 0.1 percent. The MSCI Asia Pacific Index increased 0.3 percent, the first advance in a week and the largest climb in almost two weeks. The U.K.’s FTSE 100 Index sank 0.6 percent. The MSCI Emerging Market Index decreased 0.2 percent, hitting the lowest in more than five weeks with its sixth straight decline.
West Texas Intermediate crude fell 0.3 percent to $61.61 a barrel, hitting the lowest in almost five weeks with its fifth consecutive decline. Gold decreased 0.6 percent to $1,310.14 an ounce, the weakest in more than five weeks.=
This article was compiled by BOV Asset Management Limited, a member of the BOV Group. BOV Asset Management,TG Complex, Suite 2, Level 3, Brewery Str., Mriehel BKR 3000. Email: infoassetmanagement@bov.com Internet address: www.bovassetmanagement.com. BOV Asset Management is licensed by the MFSA.