Asian financial markets continued their decline on Tuesday, after a black day on Monday by US and European stock markets.
Asian financial markets continued their downturn on Monday, after Monday, a black day committed by US and European stock markets, despite the mobilization of leaders and governors of central banks who tried to allay market fears about the specter of a new crisis, according to France Press.
Hong Kong SE fell 7.24%
The Tokyo Stock Exchange fell more than 4% in the middle of the session, the Hong Kong Stock Exchange fell 7.24% after the opening of the session, the Sydney Stock Exchange recorded a loss of 5% and Seoul – 4.2% loss.
“Asians act emotionally instead of looking at the situation rationally. This is a general panic. ” said Chris Weston of IG markets, based in Melbourne.
Oil prices continued to fall.
Oil prices continued to fall during e-commerce in Asian markets, a barrel of “light sweet crude” oil for September delivery fell below $ 80, while a barrel of Brent crude oil tested the $ 100 threshold.
The price of gold reached a new high record in Hong Kong.
Gold continues to enjoy its asylum status. On Tuesday, an ounce of gold reached a new record on the Hong Kong Stock Exchange – 1,726.30-1,727.30 dollars after the threshold of 1720 dollars on Monday.
Financial markets are still suffering from the shockwaves of the latest historic decision from last Friday, when Standard and Poor’s downgraded the US “AAA” rating up to “AA +”.
S&P’s decision came with a huge list of disappointing US economic indicators and fears of a sovereign debt crisis in Europe.
Yesterday, the New York Stock Exchange recorded its worst session since December 2008. The Dow Jones fell 5.55% to close below 11,000 for the first time in 10 months. Panic has spread to the other side of the Atlantic. The Frankfurt Stock Exchange fell 5.02%, Paris fell 4.68% and London ended 3.39%.
Pressed to reach a coherent response to the eurozone crisis and signs of a slowdown in the US economy, the leaders of the world’s richest countries have not been spared. On Monday morning, shortly before the opening of European market sessions, the G20 said it was ready to act in a coordinated manner to stabilize financial markets and protect economic growth. Shortly afterwards, G7 central bank leaders and governors said they would work together to counter excessive exchange rate movements. In turn, the European Central Bank announced on Sunday that it would buy public bonds from the secondary market.