Page 24 - atoday sept 24
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A24
BUSINESSThursday 24 September
Materials and energy stocks slide on China growth worries
MATTHEW CRAFT sharp turn lower just before Traders Robert Arciero left, and Timothy Nick work on the floor of the New York Stock Exchange.
AP Business Writer lunchtime, then climbed Another slide in raw-material producers and oil companies tugged the stock market to a slight
NEW YORK (AP) — Another back almost to breakeven loss on Wednesday, amid heightened concerns about global economic growth.
slide in raw-material pro- in the afternoon. By the
ducers and oil companies closing bell, the stock mar- (AP Photo/Richard Drew)
tugged the stock market ket wound up just shy of
to a slight loss on Wednes- where it started. Wednesday, taking re- Major indexes in Europe re- Hong Kong’s Hang Seng
day, amid heightened The Standard & Poor’s 500 sponsibility for a growing covered a portion of their sank 2.3 percent. South
concerns about global index gave up 3.98 points,
economic growth. Dow or 0.2 percent, to finish the scandal. His resignation steep losses from the day Korea’s Kospi fell 1.9 per-
Chemical and Chevron day at 1,938.76.
each lost 2 percent. The Dow Jones industrial followed the German car- before. Germany’s DAX fin- cent, and Australia’s S&P/
The news out Wednesday average lost 50.58 points, maker’s admission that it ished with a gain of 0.4 per- ASX 200 lost 2.1 percent.
was hardly encourag- or 0.3 percent, to 16,279.89, rigged software in its cars cent, while France’s CAC Japan’s stock market re-
ing. A private measure of and the Nasdaq compos- to pass U.S. emission tests. 40 picked up 0.1 percent. mains closed until Thursday
manufacturing in China hit ite fell 3.98 points, or 0.1
its lowest level in six years, percent, to 4,752.74. In a statement, Martin Win- Britain’s FTSE 100 gained 1.6 for public holidays.
a result of weaker factory Mounting concerns about
production, overall new or- slowing global economic terkorn said he was “not percent. Back in the U.S., bond pric-
ders and hiring. growth and the timing of aware of any wrongdo- Evidence of slowing eco- es fell, nudging the yield
That, along with plunging the Federal Reserve’s first ing on my part.” U.S.-list- nomic growth hit mar- on the benchmark 10-year
oil prices, could have led interest-rate hike in nearly
to a much bigger sell-off, a decade has battered ed shares of Volkswagen kets across Asia. China’s Treasury note to 2.15 per-
said Jim Paulsen, chief in- markets recently. The S&P
vestment strategist at Wells 500, the most widely used surged $1.66, or 7 percent, Shanghai Composite Index cent from 2.13 percent the
Capital Management. But measure of U.S. invest-
that’s hardly encouraging ments, has lost more than to $27.10. dropped 2.2 percent, while day before.q
for investors looking for a 8 percent in three months.
signal that the worst is over. Anthony Valeri, a market
The market has finished strategist at LPL Financial,
lower in four of the past five said he thinks the choppy
days. trading will likely continue
“I’m sure there are a lot of until next week, when a
buyers on the sidelines,” batch of major U.S. eco-
he said, “but right now it nomic reports come out.
doesn’t seem like a very The government releases
good time to buy.” its monthly look at the job
The major indexes headed market next Friday.
higher at the outset of trad- In other news, Volkswa-
ing Wednesday, took a gen’s CEO stepped down
China inks deals worth $38 billion to buy 300 Boeing jets
HONG KONG (AP) — Boe- A Boeing 787-9 takes off at Paine Field in Everett, Wash. Chinese companies have agreed with plants in Washington state.
ing said Wednesday that Boeing to buy 300 jets and build an aircraft assembly plant in China in deals signed during Airbus opened its first as-
Chinese companies have President Xi Jinping’s visit to the United States, the official Xinhua news agency said Wednesday. sembly line outside of Eu-
agreed to buy 300 jets and rope in 2008 with a Tianjin
build an aircraft assembly (AP Photo/Elaine Thompson) facility that turns out four
plant in China. The deals, A320 aircraft per month. In
worth about $38 billion, the new facility will paint Washington, D.C., to meet as the two rivals step up July, Airbus signed a deal
were signed during Chi- the jets and finish their in- President Barack Obama. their efforts to win more for a second completion
nese President Xi Jinping’s teriors. The assembly plant would business in the country’s and delivery center for
visit to the United States. Xi visited Boeing’s Paine be Boeing’s first in Chi- lucrative aircraft market. A330 jets.
China Aviation Supplies Field assembly plant dur- na and signals its attempt Boeing said the Chinese Boeing, based in Chi-
Holding Company, ICBC ing the Seattle leg of his to match its European rival facility won’t reduce cago, sold a record 155
Financial Leasing and Chi- trip before moving on to Airbus’s Chinese presence employment levels at its airplanes last year to cus-
na Development Bank tomers in China, and so
Leasing inked the jet pur- far this year, a quarter of
chase agreement after its jets have been deliv-
Xi’s arrival in Seattle. Boe- ered there. The company
ing said the orders were predicts that over the next
mostly for its 737 models. two decades China will
State-owned Commer- overtake the U.S. as the
cial Aircraft Corporation world’s biggest plane
of China, which is better market with demand for
known as Comac, also 6,330 new airplanes worth
signed a cooperation an estimated $950 billion.
agreement with the U.S. Shares of Boeing Co.
plane maker to build a fell $2.32, or 1.7 per-
737 aircraft assembly cen- cent, to close at $131.67
ter in China. Boeing said Wednesday.q
