Global stocks slump amid Italian political turmoil

Global stocks slump amid Italian political turmoil

Global stocks slump amid Italian political turmoil

The report statedata also noted that energy prices in may jumped 6.1% in annual terms, after rising 2.6 percent the previous month.

Peer AMS declined before recovering losses to end down 0.6 percent.

European markets fell sharply Tuesday, especially in Italy, Greece and Spain, and USA stocks also sustained losses.

The yield on the benchmark 10-year Treasury note was lower at around 2.826 percent, while the yield on the 30-year Treasury bond ticked down to 2.991 percent.

MSCI's broadest index of Asia-Pacific shares outside Japan tumbled 1.4 percent, while Japan's Nikkei average sold off 1.5 percent to a six-week low.

The Dow Jones industrials lost 432 points, or 1.8 percent, to 24,323.

The yield on Italy's 10-year bond rose by about 0.4 percentage point to 3.1 percent.

On Tuesday Britain's FTSE 100 and the French CAC 40 both sank 1.3% the German DAX lost 1.5%.

Investors fear that repeat elections in the euro zone's third-largest economy - which could come as soon as July - may become a de-facto referendum on Italian membership of the currency bloc and its role in the European Union.

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US Weekly also reported Lincoln's costar, Norman Reedus , has negotiated a $20 million paycheck to stay on. In a show like The Walking Dead , as the title suggests, death lurks around every corner - literally.

On Tuesday, markets got another scare when Italy failed to patch together a new coalition government, raising the odds of another election late this summer or fall that could result in a rise to power political parties who aren't fans of Italy staying in the 19-country eurozone.

The European Central Bank does not see a need to react for now, however, because key financial indicators have yet to show signs of acute stress.

ANALYST'S VIEWPOINT: "Worries over geopolitics look set to hit Asia after sweeping through Europe and also the U.S.at the start of the week".

"That being said, a heavy data calendar from Wednesday could shift some attention back to economic growth and monetary policy", said Jingyi Pan of IG.

"At these levels, I think the dollar is almost priced to perfection and we think the euro should see a rebound from later this year", said Paul Baird, head of fixed income at Newton Asset Management, a subsidiary of BNY Mellon which manages $49.8 billion in assets globally. A capitalisation-weighted index of euro area banks fell as much as 5.2% to its lowest since December 2016, while Deutsche Bank AG dropped by 3.3% to the lowest since September 2016. The euro sank to $1.1577 from $1.1669.

TREASURIES: U.S. government bond prices jumped as investors moved money into lower-risk assets.

ENERGY: Benchmark U.S. crude fell 57 cents to $67.31 per barrel in electronic trading on the New York Mercantile Exchange while Brent crude, used to price worldwide oils, added 78 cents to $76.08 per barrel in London.

In the USA markets, financial services were hit the hardest with JPMorgan Chase down 4.2 percent, followed by Goldman Sachs down 3.4 percent and American Express down 3.3 percent in late-day trading.

Oil struggled under pressure from expectations that Saudi Arabia and Russian Federation would pump more oil to counter potential supply shortfalls from Venezuela and Iran, even as US output has surged in recent years. Brent crude, used to price global oils, rose 0.6 percent to $75.80 per barrel in London.

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