Emerging Global recession concerns, the World Stock Market Loss
London (ANTARA News) - The stock market in the world fell in trading Monday, with markets in Europe, Asia and Latin America down to seven percent as investors parea release shares their concerns in the midst of a global recession.
The dealer said, a plan of the main United States President (USA), George W. Bush, to repudiate recession in the U.S. is not quite close the flow of bad news from banks due to crisis in the U.S. housing market.
"People do not buy the story underwriting U.S. debt payment because they have felt transparantly by weakening Asian markets," said Richard Hunter, analyst at Hargreaves Lansdown shares in London.
"Today we do not think there is interest to buy - people will refrain while to see what happens in the U.S.," he said, who noted that Wall Street closed on Monday for a national holiday.
Pressure is driven credit crisis in U.S. subprime, or high risk, mortgage sector has given way to end the widespread expectation in the world's largest economy, with increased unemployment and weakening U.S. dollars.
Many analysts now worry that pelambatan the U.S. economy could damage the world economy.
Chairman of the International Monetary Fund (IMF) Dominique Strauss-Kahn warned Monday that "all countries in the world are suffering from pelambatan growth in the United States, at least in developed countries."
World oil prices recede in the midst of deep concern decrease the potential demand for energy due to weakening U.S. economy, analysts said. The main New York contract, the type of crude oil, light sweet Crude down 1.76 dollars to be 88.81 dollars per barrel.
While the dollar rose sharply against the U.S. euro. The dealers said that investors "carry-trade", which has been set money in currencies with higher yield, now back to reduce the position of the dollar, which still offers the quality of security that can be unreliable.
However there on Monday, is not safe for the stock market investors.
In London, FTSE 100 index down 5.48 percent. In Paris, Frankfurt and Madrid daily experienced the largest decrease since the 11 September attacks terosris.
In Paris the CAC 40 index down 6.83 percent, the Frankfurt DAX index declined 7.16 percent and in Madrid declined 7.54 percent.
Because European stock closed the day after their traumatic, stock-exchange in Latin America also opened with the same bad news.
Sao Paulo stock market - the largest in the kawasab - down 6.0 percent, in Buenos Aires down 4.64 percent, while in Mexico declined 4.77 percent.
Anxiety in Europe and the United States triggered a decline earlier in the entire Asian market, with the reference index of the Tokyo down 3.86 percent beaten to the lowest position since October 2005.
Markets react to the U.S. president's plan announced Friday a temporary tax reduction for the (economic stimulus) 140 billion U.S. dollars (97 billion euros) and other provisions to rebut a recession in the largest economy in the world.
"Package Bush is apparently too late and not strong enough to influence," said Najeeb Jarhom, head of research for retail customers Fraser Securities in Singapore.
Asian markets have been "Rebound" at the end of last week amid expectations the stimulus plan Bush, opened down sharply on Monday, after Wall Street does not see the enthusiastic welcome the announcement
