European Day of Action and Solidarity Impacts Europe’s ETFs

Print This!

Unified European protest against austerity takes place in Spain, Italy, Portugal, Belgium and France hits Europe’s ETFs.

The major European stock indices made significant declines on Wednesday as a Eurozone-wide protest against austerity accompanied more bad news about the Greek economy.  The Greek Statistical Authority (ELSTAT) announced that earth image European Day of Action and Solidarity Impacts Europes ETFsthe nation’s third quarter GDP fell 7.2 percent compared with the third quarter of 2011 (NYSEARCA:GREK).  The economic contraction represents a more severe situation than the government’s anticipated 6.5 percent decline.  Greek Default Avioded, for Now

Portugal’s National Statistics Institute reported that the nation’s third-quarter GDP contracted 3.4 percent from the same period of 2011.

Britain’s Office for National Statistics reported that the nation’s unemployment rate for the third quarter declined to 7.8 per cent of the economically active population, compared with 8.0 percent during the second quarter (NYSEARCA:EWU).  In its November 2012 Inflation Report, the Bank of England discussed the employment situation:

Private sector employment remains puzzlingly robust.  Around a quarter of a million private sector jobs were added in 2012 Q2, taking the cumulative total of jobs created since the summer of 2010 to almost one million.  Annual regular private sector pay growth remains subdued at around 2%, restrained in part by a sizable margin of slack in the labour market.  Despite weak pay growth, the stagnation in productivity has meant that companies’ unit labour costs have continued to increase at or above their average historical rate.

The Bank of England report explained that although GDP increased by 1 percent during the third quarter, headline growth is likely to retreat sharply during the fourth quarter.  The BoE downgraded its 2013 economic growth forecast to 1 percent, with the explanation:  “The outlook for UK growth remains uncertain”.

As of 11:10 EST, the Euro STOXX 50 Index declined 0.81 percent to 2,473  – remaining below its 50-day moving average of 2,516  (NYSEARCA:VGK).  The FTSE 100 Index dropped 0.94 percent to 5,731 (NYSEARCA:EWU).  The German DAX Index sank 0.86 percent to 7,107 (NYSEARCA:EWG).  France’s CAC 40 Index fell 0.83 percent to 3,402 (NYSEARCA:EWQ).  Spain’s IBEX 35 Index slipped 0.18 percent to 7,679 (NYSEARCA:EWP).  Italy’s FTSE MIB Index declined 0.49 percent to 15,258 (NYSEARCA:EWI).  Forget About the BRICs – Buy These Rising Stars Instead

Read More On iShares Europe’s ETF

As of 11:20 EST, the euro advanced 0.29 percent against the dollar, trading at $1.2741 (NYSEARCA:FXE).

Spain’s ten-year bond yield climbed to 5.93 percent on Wednesday from Tuesday’s closing level of 5.78 percent.  Spain’s two-year bond yield jumped to 3.21 percent on Wednesday from Tuesday’s closing level of 3.09 percent (NYSEARCA:EWP).

Italy’s ten-year bond yield rose to 4.99 percent on Wednesday from Tuesday’s closing level of 4.96 percent (NYSEARCA:EWI).

On London’s ICE Futures Europe Exchange, January futures for Brent crude oil advanced by 83 cents (0.77 percent) to $108.17/bbl. (NYSEARCA:BNO, NYSEARCA:USO).

Pages: Next

Be kind & share...Share on Facebook0Tweet about this on Twitter0Share on LinkedIn0Pin on Pinterest0Share on Google+0Digg this
.

Disclaimer: The content included herein is for educational and informational purposes only, and readers agree to Wall Street Sector Selector's Disclaimer, Terms of Use, and Privacy Policy before accessing or using this or any other publication by Wall Street Sector Selector or Ridgeline Media Group, LLC.

Go to Wall Street Sector Selector Home or Check our Special Wall Street News Section

Visit Us On TwitterVisit Us On FacebookVisit Us On YoutubeVisit Us On Linkedin
Make sure you create your redirects.txt file and that it's readable by the redirect script.