Stocks fall on 'fiscal cliff'; oil surges



Reuters

Published — Thursday 15 November 2012

Last update 15 November 2012 5:52 am

| نسخة PDF Print News | A A

NEW YORK: Stock markets fell yesterday as investors waited for progress in approving aid for Greece and in averting potential US fiscal constraint in early 2013.
The euro, meanwhile, gained against both the dollar and the yen. Elections in Japan are set for next month, and the main opposition party favors further monetary easing.
In the United States stock indexes fell despite strong earnings reported by technology bellwether Cisco and two retail chains.
Investors are wary of the impact tax hikes and severe spending cuts would have on the US economy if President Barack Obama and Congress fail to agree on a plan to avoid the so-called fiscal cliff.
Though Greece is expected to secure short-term funding to meet its debt obligations, international lenders disagree over how Athens can cut its borrowing to more sustainable levels. A deal to release aid payments remains a way off.
The Dow Jones Industrial Average was down 60.96 points, or 0.48 percent, at 12,695.22. The Standard & Poor's 500 Index was down 5.96 points, or 0.43 percent, at 1,368.57. The Nasdaq Composite Index was down 6.16 points, or 0.21 percent, at 2,877.73.
The MSCI world equity index fell 0.7 percent to 319.89 after five days of losses. Markets across Europe fell, but Asian markets recovered from seven-week lows. London's FTSE 100, Frankfurt's DAX and Paris's CAC-40 were between 0.4 and 0.6 percent lower.
The euro meanwhile gained against both the dollar and the yen after Japanese Prime Minister Yoshihiko Noda said he was set to dissolve parliament's lower house on Friday for a snap election next month, which is likely to cost him his job,
The dollar rose 0.9 percent to 80.12 yen and the euro climbed 1.2 percent on the day to 102.10 yen. Against the dollar, the euro was 0.25 percent higher at $1.2730.
In oil markets Brent crude reversed early losses to gain $1.34 to $109.60 a barrel, supported by the dollar's fall against a basket of currencies, aside from the yen, which makes dollar-denominated oil more affordable.
US oil gained 87 cents to $85.25, snapping two days of losses.

What's happening around Saudi Arabia

Huge projects change the faces of cities and great ambitions help create such projects. Madinah had its date with a quantum leap to usher in a new era of urban development. Such huge projects help achieve formidable civilization advancements and sign...
RIYADH: The Japanese ambassador to the Kingdom, Noriheiro Okoda, has held a meeting with Hashem Abdullah Yamani, president of the King Abdullah City for Atomic and Renewable Energy (K.A.CARE), and discussed bilateral cooperation in the fields of atom...
AL-BAHA: Forty three percent of Al-Baha cannot be developed easily because of the region’s mountainous terrain.This is the view of Khaled Al-Sayegh, undersecretary for construction at the municipality, who was speaking at an event held at the College...
JEDDAH: An official at the Council of Saudi Chambers said the council’s members are discussing a regulation to submit to the Ministry of Labor and other government agencies to deny a number of privileges to companies that force its labor to work unde...
ABHA: With many families wanting new furniture during Ramadan, furniture and interior decorating shops are raising prices to more than double what they were before the month.Homeowner Zaina Mohammed says she used to change her home furniture every Ra...
RIYADH: Saudi Commission for Tourism and National Heritage (SCTNH) President Prince Sultan bin Salman described the first visit by Custodian of the Two Holy Mosques King Salman to Madinah as “historic.”In his comments following the visit which saw th...
MADINAH: Economists expected the volume of investments in Madinah’s economies during the coming few years to reach SR500 billion.The forecasted growth in the population, to reach 2.6 million people after 25 years, and the number of visitors to 12.2 m...
JEDDAH: It seems that many Saudi families are gradually coming to terms with the new reality of living in apartments, as building villas is not possible due to shortage of appropriate land.With the increasing display of housing units by the Ministry...
RIYADH: Migrant rights advocacy group Migrante-Middle East (M-ME) has lambasted their country’s leadership over the claim that the number of overseas Filipino workers are declining due to sustained economic growth in the Philippines.The group has cal...
RIYADH: A charitable foundation called “Smile” will be launched on Sunday night at the Al-Hokair Land in the Saudi capital to make people happy. “The foundation will be launched to make Saudi Arabia a center of smiles,” well-known television host and...
MAKKAH: The Kingdom has seen a sharp rise in the number of Umrah pilgrims to around 6 million from 1.5 million in the last 16 years. Moreover, the number of pilgrims overstaying their visas has come down to about 1 percent. The Ministry of Haj has be...
RIYADH: The King Khalid Foundation (KKF) said here recently that it has financed small enterprises (SMEs) run by 130 widows in some of the Kingdom’s provinces.KKF hosted an iftar party last week for local media at its headquarters in Riyadh at which...
JEDDAH: Prince Abdullah bin Abdul Aziz bin Musaed, governor of the Northern Borders province, has died.He will be buried after Taraweeh prayers in Jeddah on Saturday, the Royal Court said in a statement carried by the Saudi Press Agency. No other det...
RIYADH: The Ministry of Education has suspended all parallel education programs, except in medical and engineering specialties, as well as bridging programs for health diploma certificates.Education Minister Azzam Al-Dhakil gave directions to the rec...
RIYADH: The Cooperative Health Insurance Council said it had suspended operations of six medical insurance companies for violating health insurance regulations by issuing insurance policies without completing the required documentation and violating...

Stay Connected

Facebook