It was a tough week on Wall Street that ended on a sour note, with bad economic news continuing to flow and traders continuing to sell.
As world leaders meet tomorrow to discuss ways of rebalancing the global economy to prevent another GFC, thoughts turn to the Plaza Accord of 1985.
Investors suddenly rushed into gold last night as weak jobs data sent Wall Street lower. Dow down 30.
Positive manufacturing data failed to stem the September jitters last night. Dow down 185. (Locked for subscribers until 10:00 AEST)
Wall Street followed drops in Asia yesterday and Europe last night on the back of the big Chinese fall. Dow down 186.
With no economic data and the earnings season winding down, Wall Street took profits last night following Friday’s surge. Dow down 32.
Japanese companies are increasingly focused on emerging markets as a growth option, a move Standard Chartered expects will deliver benefits in coming years.
President Obama’s delegation is currently in talks with China’s team in Washington about politics, climate and economics. Oh to be a fly on the wall.
Westpac has updated its economic outlook for Australia and the other major economies, its numbers suggesting a return to modest growth next year everywhere bar Europe.
Few economists disagree that, ultimately, the US dollar is in a downtrend. But unlike previous dollar declines, this time it is emerging markets against which the dollar is overvalued.