Contact us

Company Name:
Lishui Huanqiu Bearing Trading Co., Ltd.

Company Address:
No.11 Shiting Road, Shuige Industrial Zone,Lishui, Zhejiang,China
Contact Person: William

Email: admin@tradebearings.com
Homepage: www.asiabearings.com
Bearing B2B: www.tradebearings.com

email

 

Home > News >

Asia stocks wilt hours before US fiscal cliff hits

A few hours before leaving American play "fiscal cliff," stock wither investors sell high risk assets, to lock in a profit, budget negotiations failed in Washington, the other side of the world.
American political leaders face a Monday night deadline to reach an agreement to increase the tax and spending cuts on 1st January - this, at this time, the U.S. economy still struggling from last year's recession recovered.
Democrats and republicans, all have no a budget agreement, despite intense negotiations. Most of the deadlock on how to solve the automatic increases in taxation, take effect in 2013. This is according to the President George w. bush tax issued for the first time, according to the American President barack Obama and expand, scheduled maturity.
This will promote tax almost all americans consume the already fragile economy dollars, $60 billion. And budget cuts will reach 8% or 9% of the federal government, touch all sorts of things, from military to weather forecast.
Some economists forecast, consumption tax and financial cliff influence, could eventually cause the economy into a recession. If the deadline has passed, the politicians still have a few weeks to keep at the tax increases and spending cuts back the abolition of a transaction.
However, failed to adhere to the deadline will do harm to the confidence of investor, according to the bobcats holdings in Hong Kong, managing director Francis Aaron.
"I think that the market reaction, will be very negative, this means that the United States will always be in order to be able to put his own house. Deficit will continue to accumulate," said Aaron. "Any meaningful reform did not solve a stretch and can even confidence window."
The uncertainty of the stock market down in the last trading day of this year. Australia's S&P/ASX 200 index fell 0.5% to 4648.90 point. Hong Kong's hang seng trading along while, flat in 22668.48. In New Zealand, Singapore and India's benchmark also declined. Stock markets in mainland China. In Japan and South Korea market closed New Year holiday.
Even if Washington round fiscal cliff, the crisis will come, in the end of February or early March 164, when the government $00 billion on the ceiling of the amount, it can borrow.
Republican not with increasing government borrowing limit, unless the growth of spending cuts was matched to help against the long-term debt problem. If you don't improve the debt ceiling, may lead to one of the first American by default, will stir the financial markets, and shake the confidence of the world, the United States.
Compound interest, is the earnings season in February, according to Peter Esho in Sydney, CityIndex chief market analyst.
"There are some very positive hypothesis, profit improvement, to 2013 earnings number did not reach the required, it will be quite disappointing," said Esho.
In electronic trading on the New York mercantile exchange in February delivery benchmark crude oil fell 8 cents to $90.72 a barrel. The contract has declined 7 cents at $90.80 a barrel in New York last Friday.
In currency markets, the euro fell to $1.3215 from $1.3221 on Friday night in New York. The fall in the dollar to 85.95 yen, from 86.07 yen.




Other News:
Asia stocks wilt hours before US fiscal cliff hits
Activist asks public to visit China Nobel wife
No end to Syria war if sides refuse to talk: envoy
5 killed in Oregon tour bus crash on I-84
Cliff avoided: Congress staves off tax hikes
If cut, fiscal deal will pale against expectations
No fuel sheen or sign that ship hull is breached
No fuel sheen or sign that ship hull is breached