NEW YORK - Wall Street stocks plunged on Monday as jitters re-emerged over the financial health of mortgage-finance giants Fannie Mae and Freddie Mac, triggering fresh fears about the US credit crunch.
The Dow Jones industrial average fell 180.51, or 1.55 per cent, to settle at 11,479.39.
The Standard & Poor’s 500 index fell 19.60, or 1.51 per cent, to 1,278.60, and the Nasdaq composite index fell 35.54, or 1.45 per cent, to 2,416.98.
LONDON - European stock markets closed narrowly mixed in volatile trade. In London, investors set record results for the world’s biggest miner, BHP Billiton, against deep-seated concerns on the economic outlook.
The FTSE 100 index slipped, 4.6 points, or 0.08 per cent, to 5,450.20 points.
FRANKFURT - The DAX was off 13.14 points, or 0.20 per cent, to 6,432.88 points.
PARIS - The CAC 40 edged down 4.78 points, or 0.11 per cent, to 4,448.84 points.
TOKYO - The Tokyo Stock Exchange’s benchmark Nikkei-225 index rose 146.04 points, or 1.12 per cent, to end at 13,165.45.
HONG KONG - The benchmark Hang Seng index closed down 229.91 points, or 1.09 per cent, at 20,930.67.
WELLINGTON - Fisher & Paykel Appliances shares plunged 11.5 per cent, or by 24 cents to 185, after the short term cost of the move of much of the company’s manufacturing offshore was revealed.
Fisher & Paykel helped take the benchmark NZSX-50 index down 16.99 points to 3334.15.
SYDNEY - The Australian stock market is expected to open lower today after Wall Street fell overnight.
At 0743 AEST, the Sydney Futures Exchange’s September share price index futures contract was down 85 points at 4,920.
In news today, Australian Chamber of Commerce and Industry (ACCI) small business survey will be released, the Housing Industry Association of Australia issues its state and national outlook for the June quarter, and the Reserve Bank of Australia will release the minutes of its August 5 board meeting.
The Australian Bureau of Statistics releases data on merchandise imports for July, and the Melbourne Institute issues its quarterly wages report.
In company news today, OneSteel, Consolidated Media, Boral, Hutchison Telecommunications, Melbourne IT, JB Hi Fi, GWA International, Virgin Blue Holdings, Monadelphous Group, Thomas & Coffey, Oil Search and Newcrest will release annual results.
Lihir Gold releases interim results.
Origin Energy releases its target’s statement in response to a takeover bid by the UK’s BG Group.
The Australian share market nudged a little higher yesterday as investors anticipated a good profit result from BHP Billiton, which released its results after the close of the market.
The benchmark S&P/ASX200 index was up 3.3 points to 4,985, while the broader All Ordinaries index gained 4.6 points to 5,043.5.
NYMEX
Crude oil prices fell on Monday as Tropical Storm Fay looked set to spare energy facilities in the Gulf of Mexico and as the Baku-Tbilisi-Ceyhan pipeline appeared ready to reopen.
New York’s main contract, light sweet crude for September delivery, dropped 90 cents to close at $US112.87 a barrel.
Earlier, oil prices had climbed as investors worried that Tropical Storm Fay would strike the Gulf of Mexico, where nearly a quarter of US oil installations are located.
The New York futures contract had bounced above $US115 before losing steam when it became clear that Fay, which had battered the Dominican Republic, Haiti and Cuba, was on track to hit Florida.
Royal Dutch Shell said it had evacuated 425 staff from the Gulf of Mexico but said that no more workers would leave as Fay appeared likely to miss its energy installations.
According to the Miami-based National Hurricane Center, Fay could reach hurricane strength before making landfall in Florida late on Monday (overnight Monday to Tuesday morning AEST).
COMEX
Gold for December delivery closed at $US805.70 per troy ounce on the New York Mercantile Exchange, up from $792.10 on Friday.
Silver for September delivery added 28.5 cents to settle at $13.10 on the Nymex while September copper fell 0.75 cent to settle at $3.315 a pound.
