Global markets
Wednesday, December 15, 2010Wall Street opens lower after warning on Spain debt
US stocks were nearly flat after the start of trading as a warning for Spain about its credit rating fanned worries about the debt crisis in the euro zone, while US economic data showed further improvement in the recovery. The Dow Jones industrial average was down 4.23 points, or 0.04 percent, at 11,472.31. The Standard & Poor's 500 Index was down 2.31 points, or 0.19 percent, at 1,239.28. The Nasdaq Composite Index was down 2.76 points, or 0.11 percent, at 2,624.96.
European shares fell in early trade after the US Federal Reserve gave a cautious assessment of the strength of the economic recovery, and a ratings agency put Spain on review for a downgrade.
The FTSEurofirst 300 index of top European shares was 0.3 percent lower at 1,129.18 points, after rising for seven straight sessions, its longest winning run in six months, and hitting its highest close in nearly 27 months. The Fed said the economic recovery was still too slow to bring down unemployment and reaffirmed its commitment to buy US$600 billion in government bonds.Japan's Nikkei average held on to gains after hitting a seven-month closing high the day before, with a subdued economic statement from the Federal Reserve despite strong US retail sales for November prompting investors to snap up profits.
The benchmark Nikkei slipped from a seven-month closing high hit on Tuesday, shedding 6.99 points to 10,309.78.
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