Left Menu
Development News Edition

GLOBAL MARKETS-Oil tumbles on supply glut; Wall Street up on G20 comments

Oil prices retreated on Friday amid a global glut, racking up a 20 percent drop for November, while most major equity markets kept moves tight ahead of weekend talks between U.S. President Donald Trump and Chinese leader Xi Jinping.

U.S. shares, however, turned positive midday after a Chinese official said at the Group of 20 summit in Argentina that the United States and China were making progress on trade talks.

"Consensus is steadily increasing," Wang Xiaolong, director general of the Chinese Foreign Ministry's department of international economic affairs, told Reuters on the sidelines of the summit.

In Europe, Frankfurt's export-heavy DAX stock index and Britain's domestic-focused FTSE 250 both faced a fourth consecutive month of declines.

The German index had its worst run since late 2008, weighed by Deutsche Bank shares' falling to an all-time low as police searched the bank's headquarters for a second day in a money laundering scandal linked to the Panama Papers.

MSCI's gauge of stocks across the globe shed 0.10 percent, while the pan-European STOXX 600 index lost 0.17 percent.

On Wall Street, the Dow Jones Industrial Average rose 94.44 points, or 0.37 percent, to 25,433.28, the S&P 500 gained 13.17 points, or 0.48 percent, to 2,750.93, and the Nasdaq Composite added 24.66 points, or 0.34 percent, to 7,297.74.

November's real humdingers have been oil and shares of Apple Inc, which have plunged 21 percent and 18 percent, respectively, the biggest declines for both since the financial crisis a decade ago.

Swelling inventories depressed sentiment and oil prices, despite widespread expectations that OPEC and Russia would agree on some form of production cut next week. OPEC and its allies are meeting in Vienna next week to discuss oil production.

U.S. crude oil futures settled at $50.93 per barrel, down 52 cents, or 1.01 percent. Brent settled at $58.71 per barrel, down 80 cents, or 1.34 percent.

Markets could have a wild December if Trump and Xi fail to de-escalate their trade rhetoric during talks at this weekend's G20 meeting in Argentina.

"People don't want to get too optimistic heading into a meeting, because the (U.S.) president is kind of a wild card," said Robert Pavlik, chief investment strategist and senior portfolio manager at SlateStone Wealth LLC in New York. "You don't know how tough he'll be with this meeting and these negotiations."

Data on Friday added to the anticipation, showing that growth in China's vast manufacturing sector stalled this month for the first time in more than two years.

Trump has sent mixed signals, saying, "I think we're very close to doing something with China, but I don't know that I want to do it," because the money coming in from the tariffs he has imposed has been so lucrative.

The dollar rose as investors prepared for fallout from the talks, which are expected to increase volatility across markets.

The dollar index, tracking it against six major currencies, rose 0.5 percent, with the euro down 0.71 percent to $1.131.

(Reporting by Hilary Russ Additional reporting by Marc Jones and Christopher Johnson in London; Amy Caren Daniel in Bengaluru; Karen Brettell in New York; Editing by Bernadette Baum and Leslie Adler)

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)



These innovators are making humanitarian response more efficient

These alarming trends prompt a call for the world to not only address the ongoing crisis but also to adopt innovative approaches to fulfill the growing humanitarian needs in such emergencies. ...

Hyderabad Encounter: A sentiment analysis of public mood on day of encounter

Sentiment analysis of twitter users revealed that they showered salutes on Hyderabad police for eliminating alleged gang rapists of the veterinary doctor but only a few believe in cops version of successive events leading to encounter....

Hyderabad Encounter: Time to review modern judiciary and restore people’s confidence

Its probably for the first time in the history of independent India, the parliamentarians, chief ministers and ministers in the Union and State governments are openly supporting an encounter. This indicates the people from top to bottom hav...

What happens to your outstanding loans if the bank falls?

... ...


Latest News

Delhi: 3 cops suspended for kidnapping MCD official

A sub-inspector and two constables of Delhi Police have been suspended for allegedly abducting an MCD official, a senior police officer said on Wednesday. The suspended policeman were posted with the special staff of northwest district, he ...

FACTBOX-FAA chief says 737 MAX will not be cleared to fly in 2019

U.S. Federal Aviation Administration FAA chief Steve Dickson confirmed on Wednesday the agency will not allow Boeing Cos grounded 737 MAX, involved in two fatal crashes in five months, to resume flying before the end of 2019. I am not going...

UPDATE 1-Biden immigration plan includes more foreign aid, no border wall

Former vice president and Democratic candidate Joe Biden on Wednesday unveiled proposals that include new protections for immigrants and increased foreign aid that he would pursue as president, drawing a sharp contrast with President Donald...

Turkey hints it could bar US from using key air bases

Ankara, Dec 11 AP Turkeys foreign minister suggested Wednesday that the United States could be barred from using two strategic air bases in retaliation to possible US sanctions against his country, the state-run Anadolu Agency reported. Mev...

Give Feedback