2024-08-06 11:30:03
Monday, August 5th was a Black Monday o black monday, por la Fall of several stock exchanges in the world and the weakening of currencies As the dollar and the euro.
In this regard, analysts point out that there are Fears in the markets about a possible recession in the United Statesbut also to the possibility of war in the middle east.
The term in question is a term that was coined in 1987, when the biggest stock market crash in the worldthat’s why we explain to you what a Black Monday.
Stock traders (Craig Ruttle/AP)
Japan’s stock market rebounds 10% after the sharp fall it suffered during Black Monday
During the market opening in the early hours of August 6 (local time), the Japan’s stock market managed to rebound by 10% after the resounding drop who suffered the Black Monday.
According to the news agency, AFP, the benchmark index of the Japanese stock market, the Nikkei 225opened the day by registering a rise of 10.33%.
In this way, the main index in the Japanese market managed to position itself in the 34,707.78 pointswhile The Topix had a rise of 10.26% to 2,455.64 units.
Regarding the rebound of the Japanese stock market, Specialists expose that is a natural effect after the resounding fall it suffered during Black Monday.
The Monex brokerage agency stated that due to market conditionsit is expected that the day of Tuesday, August 6 will be characterized because it is volatile.
The above was seconded by the Japanese bank Nomurawhich warned that during this week Markets are expected to move with great volatility.
In this regard, the Japanese financial institution noted that “today’s profits can be explained in one sentence: technical rebound”, after the sharp fall on the eve of Black Monday.
Notably at the close of the markets during On Black Monday, the Nikkei confirmed a fall of 12.40%, losing its largest figure in history, that is, 4,451.28 points.
Black Monday: Wall Street reports its worst day since 2022
Amid suspicions of a recession in the United States, it was announced that it will also Wall Street is having a bad time, since this Monday, August 5th has its worst day since 2022.
And what were its losses during this Black Monday? According to its main indicators:
- Dow Jones: 1,000 points, -2.60%
- Nasdaq: 576 points, -3.43%
- S&P 500: 163 points, -5.18%
In this sense, for the Wall Street’s worst day since 2022the Federal Reserve declared its stance unchanged, but could deal with the fall of several stock markets around the world in September.
However, from the numbers declared in this Black Mondayas of August 5, 2024, the truth is that Investors are left in a state of nervousness for future economic conduct.
Markets expect war over Black Monday falls
International markets are anticipating a war, because while company stocks in general are falling this year, Monday, August 5ththe arms industry increases its value.
An example of these industries is Lockheed Martinan American multinational that covers the aerospace and military.
Arms industry increases its value on Black Monday (Especial )
It should be remembered that the Ministry of Foreign Affairs (SRE) has raised an alert to Mexican citizens not to travel to the Middle East due to the worsening of the tensions in Israel, Lebanon and Iran.
Mexican citizens in these countries have been advised to leave as soon as possible.
Donald Trump blames Kamala Harris and Joe Biden for the fall of the markets
En la red social Truth, Donald Trumpblamed Kamala Harris and Joe Biden for the fall of international markets.
Donald Trump said that his opponent for the 2024 presidential election doesn’t understand anything and that the current president is sleeping.
It is worth remembering that in the past Donald Trump has said that if he does not win there is a risk of a Third World warwho has plans for peace in current conflicts and which would not even have happened if he had beaten Joe Biden.
BMV falls 1.8% at opening
The Mexican Stock Exchange (BMV) began its trading session on Monday, August 5, with a drop of 1.8 percent.
President Andrés Manuel López Obrador (AMLO) said that Mexico will resist because its economy is strong.
What is Black Monday?
He On October 19, 1987, stock markets crashed virtually all over the world.This was due to factors such as a weak recovery from the economic slowdown in 1980, low growth, elimination of final benefits, announcement of the tightening of monetary policy in the United States, and other situations.
One of the initial symptoms was the fall in the value of shares, in fact this began to be seen days before that date.
On that occasion the first effects were seen in the decline of operations in the Asian stock exchanges like Hong Kong, followed by Sydney, Tokyo, Frankfurt, Amsterdam and Paris.
This caused the collapse of stock markets in the world in general, and there were chain reactions, which apparently is happening now. Monday, August 5th.
What’s happening in Japan? Nikkei index falls 12.4, almost to Black Monday levels in 1987
It is August 5 fell the Japan’s Nikkei 225 index by nearly 12.4 percent This was due to fears in the US markets. The TOPIX index also fell by 12.8 percent.
The Nikkei index showed a fall since Friday, August 2, of 5.8 percent. It should be noted that in Black Monday of the On October 19, 1987, the price fell by 14.9 percent, almost matching the levels of August 5..
Samsung shares lose 11.6 percent on Monday, August 5
On Monday, the South Korean Kospi index fell 9.3 percent and Samsung shares lost 11.6 percent.
Taiwan’s Taiex index plunged 8.4 percent and the world’s largest chipmaker, Taiwan Semiconductor Manufacturing Co., lost 9.8 percent.
Stock market falls and volatility reflect nervousness over possible recession in the United States
SPI Asset Management’s Stephen Innes said the data around the world was a reflection of how nervous markets were.
“To put it mildly, the volatility spike is a spectacle that underlines how nervous the markets have become”
Stephen Innes. Analista de SPI Asset Management
On Friday, August 2nd, the Stock prices on the New York Stock Exchange fell due to high interest rates that have sought to reduce inflation.
The S&P 500 fell 1.8 percent, the Dow Jones lost 1.5 percent and the Nasdaq lost 2.4 percent. Intel had already reported its worst day in 50 years after reporting earnings that fell short of expectations.
Black Monday? Fall in Asian markets is replicated in Europe
The dollar and the euro lost 2 percent against the Japanese yen on Monday, August 5, as investors worried about a possible US recession.
According to AP, the euro fell against the dollar, trading at $1.0896 from $1.0923 previously.
In Europe, the main stock markets opened lower and have followed the collapses that began in Asia hours before.
Frankfurt reported declines of 3 percent, Paris 2.6 percent, London 2.3 percent, Madrid 2.8 percent and Milan 4 percent, AFP reported.
“The trigger: a US employment report released on Friday that sent stocks and bond yields tumbling on Wall Street”
Stephen Innes. Analista de SPI Asset Management
What is happening this Monday, August 5 in Mexico, on the so-called Black Monday?
Aspects of banknotes and coins of different denominations (Crisanta Espinosa Aguilar / Crisanta Espinosa Aguilar)
The first signs were seen on Sunday, August 4 in Mexico with the Mexican peso plummets against the US dollar.
Analysts said yesterday that several factors indicate that the United States is heading for a recession.
On Sunday, August 4, the Mexican peso broke the ceiling of 20 pesos per dollar, at 20.24 pesos, although it later fell to 19 pesos. At that time, the effects were already being seen in the Asian markets.
2024-08-06 11:30:03