Indices in the U.S. fell on Friday on news from Dubai
U.S. stock indexes fell on Friday on news from Dubai, reports Bloomberg. Index futures
rise in price in the U.S. on Monday, lifting their quotations is 0,3-0,5%.
Statement of the Government of Dubai's intention to postpone repayment of debt of the
largest state fund Dubai World is not less than six months has resulted in the confusion
of investors. Against this background, plummeting share prices of banks.
"This is reminiscent of the terror that we experienced last year - said the chief
investment officer at Fifth Third Asset Management Keith Virtts. - News, similar to those
reported from Dubai, remind us that not all problems behind."
The value of shares Bank of America sank up to the auction by 3%, JPMorgan Chase - by 2%,
Citigroup - on 2,6%, Wells Fargo - on 2,5%, Goldman Sachs Group - by 2,8%.
The fall of quotations of securities of U.S. banks to tighten statement Rochdale
Securities LLC analyst Richard Bova that financial organizations in the U.S. minimally
exposed to risks associated with the situation in Dubai.
The expert believes that the shares of U.S. banks, as well as the U.S. dollar may
ultimately benefit from this situation, because in Dubai crisis is a growing demand for
the most reliable assets.
Among the creditors of Dubai World - European banks Credit Suisse Group AG, HSBC Holdings
Plc, Barclays Plc, Lloyds Banking Group Plc and Royal Bank of Scotland Group Plc.
Share prices of commodity companies fell on Friday after falling oil prices and metals,
from a stronger U.S. dollar relative to other world currencies.
Paper Exxon Mobil have fallen in price on the basis of trading on 2,1%, Chevron - by 1,9%.
The cost of crude oil declined on Friday to its lowest level since October 14.
The price of shares of aluminum giant Alcoa fell 2.6%, gold producer Newmont Mining - on
2,8%, Freeport McMoRan Copper & Gold - by 3,6%. Gold futures fell 1.3% - up to $ 1172
per ounce, the cost of aluminum and copper also fell.
Index Dow Jones Industrial Average fell to the closure of the market on Friday at 154.48
points (1.48%) - up to 10,309.92.
Standard & Poor's 500 sank to 19.14 points (1.72%), amounting to 1,091.49.
The value of Nasdaq Composite Index declined by 37.61 points (1.73%) - to 2,138.44.