May 24, 2013
Global stocks sink on growth worries
Other US data showed home re sales fell in May and applications for unemployment insurance were higher than expected in the latest week.
Softening data globally has lifted hopes of central bank action to support the economy. Yesterday, the US Federal Reserve announced it would deliver another round of monetary stimulus and said it was ready to do even more to help an increasingly fragile US economic recovery, but the move was nonetheless a disappointment to markets.
The Dow Jones industrial average was down 251.35 points, or 1.96 percent, at 12,573.04. The Standard & Poor's 500 Index was down 30.19 points, or 2.23 percent, at 1,325.50. The Nasdaq Composite Index was down 71.36 points, or 2.44 percent, at 2,859.09.
In Europe, shares ended lower in choppy trading as weak data raised fresh concerns about a global slowdown. The FTSEurofirst 300 index of top European shares provisionally ended 0.4 percent lower at 1,009.91 points.
In Asia, Nikkei average broke above 8,800 for the first time in five weeks today, as sentiment was buoyed by a softer yen after the US Federal Reserve held back from more aggressive stimulus steps to prop up the economy.
The Nikkei rose 0.8 percent to 8,824.07, driven by exporters, such as Honda Motor Co Ltd, up 3.5 percent, and Canon Inc, adding 1.4 percent. The benchmark Nikkei hit its highest closing level since May 17 and has recovered 7 percent from a six-month low on June 4. However, it is still down 12.5. The broader Topix advanced 0.9 percent to 753.96.