August 28, 2014
Wall Street bounces back, European shares down
US stocks bounced back today, underpinned by sturdy corporate results, as the market fought to regain its footing following its largest selloff in months a day earlier.
Yesterday's sharp decline, on the back of weaker-than-expected US data, concerns over growth in China and the outlook for some emerging economies, opened the door for traders looking for bargains. Consumer and financial stocks were leading the gains on the S&P 500.
The Dow Jones industrial average ended up 72.44 points, or 0.47 percent, at 15,445.24. The Standard & Poor's 500 Index closed up 13.31 points, or 0.76 percent, at 1,755.20. The Nasdaq Composite Index finished up 34.56 points, or 0.86 percent, at 4,031.52.
European shares followed Asian markets lower on concerns about the global economic outlook and on disappointing earnings reports from the likes of oil major BP and chip designer ARM.
Stocks pared some losses, however, after better-than-expected UK construction data, which reinforced optimism about the UK economy and also sent the euro lower against the pound.
The pan-European FTSEurofirst 300 was down 0.17 percent lower at 1,270.74 after falling as much as 0.68 percent.
Japan's Nikkei stock average fell 4.2 percent to a four-month low, as the yen's rise hurt sentiment after weaker-than-expected American factory data created worries about the US economy.
The benchmark Nikkei, extending its losing streak to a fourth day, ended 610.66 points lower at 14,008.47, the lowest closing since Oct. 8. It was the biggest one-day percentage decline since June 2013.