Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


While you were sleeping: Manufacturing disappoints

While you were sleeping: Manufacturing disappoints

Feb 4 (BusinessDesk) – Equities declined on both sides of the Atlantic, continuing the trend of January, as data showed that China’s manufacturing fell last month, while US manufacturing activity grew at the slowest pace in eight months, fuelling concern about global growth.

The US Institute for Supply Management’s factory index dropped to 51.3 in January, from 56.5 in December. China’s purchasing managers’ index fell to 50.5 in January, from 51 in December.

American car makers did not provide positive news either. Ford and General Motors both reported bigger-than-expected falls in January car sales blamed on unusually cold winter weather. Shares of Ford dropped 3 percent, while those of General Motors shed 1.7 percent.

“Given the difficult weather in our largest sales regions, we are fortunate to have held in at retail as well as we did,” John Felice, Ford vice president, US marketing, sales and service, said in a statement. “In areas where the weather was good, such as in the West, sales were up. The poor weather also had an impact on the timing of some of our fleet deliveries.”

In afternoon trading in New York, the Dow Jones Industrial Average dropped 1.4 percent, the Standard & Poor’s 500 Index sank 1.5 percent, while the Nasdaq Composite Index shed 1.8 percent.

In 2014 so far, the Dow has slumped 6.5 percent, the S&P 500 has dropped 4.9 percent. The Nasdaq has actually gained, up 3.6 percent.

To be sure, some including Wells Capital Management’s James Paulsen say the recent weakness following the 2013 rally is not a sign that investors are turning bearish.

“It doesn’t mean anything’s necessarily changed,” Paulsen, the Minneapolis-based chief investment strategist at Wells Capital, told Bloomberg News. “It argues that the market’s behaving more rationally. To me, this looks more like a refreshing pause than a correction.”

On Monday, shares of AT&T and Verizon were the biggest decliners in the Dow, dropping 3.3 percent and 3 percent respectively

Shares of Pfizer bucked the Wall Street trend, last up 2.2 percent, amid promising study results for its experimental breast cancer drug.

Janet Yellen was sworn in today as the chairman of the Federal Reserve’s Board of Governors in Washington. She is due to report on monetary policy in semi-annual testimony before the House and Senate on February 11 and 13 respectively.

In Europe, the Stoxx 600 Index ended the day with a 1.3 percent slide from the previous close. The UK’s FTSE 100 gave up 0.7 percent, Germany’s DAX fell 1.3 percent and France’s CAC 40 retreated 1.4 percent.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Onetai Station: Overseas Investment Office Puts Ceol & Muir On Notice

The Overseas Investment Office (OIO) has issued a formal warning to Ceol & Muir and its owners, Argentinian brothers Rafael and Federico Grozovsky, for failing to provide complete and accurate information when they applied to buy Onetai Station in 2013. More>>

ALSO:

Tomorrow, The UN: Feds President Takes Reins At World Farming Body

Federated Farmers president Dr William Rolleston has been appointed acting president of the World Farmers’ Organisation (WFO) at a meeting in Geneva overnight. More>>

ALSO:

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news