Market sell-off: TSX tumbles 364 points, Dow drops 415
Last Updated: Tuesday, February 27, 2007 | 4:23 PM ET
CBC News
http://www.cbc.ca/money/story/2007/02/27/chinesemarkets.html
The benchmark index of the Toronto stock market endured one of its bigger one-day point losses on Tuesday, following a major stock sell-off in China.
The S&P/TSX composite index fell 364 points to end the day at 13,040 ― a drop of 2.8 per cent. At its worst point, the index was down 457 points. Every sector was in negative territory, with resource stocks leading the charge down.
S&P/TSX composite index 3-month history
As dramatic as that drop is, the main Toronto index is still above where it was just eight weeks ago at the close of 2006. Leading up to Tuesday, the Toronto market had set seven record highs in nine trading sessions. Toronto's benchmark index has doubled since October 2002 as it benefited from a steady rise in commodity prices.
In New York, the drops were similarly large. The Dow Jones industrial average lost 415 points, or 3.5 per cent. It was down almost 550 points at its lowest level of the day ― a drop of 4.3 per cent. The Nasdaq composite index plunged 96 points to 2,432.
The big question now is whether this was a one-day wonder or if the slide will continue on Wednesday and beyond.
A man passes an electronic sign showing the movements of the Hang Seng index in Hong Kong Tuesday.
(Lo Sai Hung/Associated Press)
The losses followed an almost nine per cent plunge overnight in Chinese stocks, their biggest drop in a decade. Investors are worried that a slowdown in China's booming economy could crimp demand for the West's goods ― especially its commodities.
Shanghai's composite index tumbled 8.8 per cent on Tuesday to close at 2,771.79, its largest percentage decline since the death of Communist party elder Deng Xiaoping in February 1997.
Shanghai's stock index had hit a record high just the day before, after doubling in the past year. Some analysts blamed profit taking after such an explosive run-up in share prices. Rumours were also flying that Beijing might bring in a capital gains tax to try to rein in the sizzling Chinese economy.
In Hong Kong, the benchmark Hang Seng index fell 1.8 per cent, while Singapore's Straits Times index dropped 2.3 per cent. The benchmark index of the London stock market slipped 2.5 per cent, while France lost 2.9 per cent and Germany's DAX lost 2.4 per cent.
Last Updated: Tuesday, February 27, 2007 | 4:23 PM ET
CBC News
http://www.cbc.ca/money/story/2007/02/27/chinesemarkets.html
The benchmark index of the Toronto stock market endured one of its bigger one-day point losses on Tuesday, following a major stock sell-off in China.
The S&P/TSX composite index fell 364 points to end the day at 13,040 ― a drop of 2.8 per cent. At its worst point, the index was down 457 points. Every sector was in negative territory, with resource stocks leading the charge down.
S&P/TSX composite index 3-month history
As dramatic as that drop is, the main Toronto index is still above where it was just eight weeks ago at the close of 2006. Leading up to Tuesday, the Toronto market had set seven record highs in nine trading sessions. Toronto's benchmark index has doubled since October 2002 as it benefited from a steady rise in commodity prices.
In New York, the drops were similarly large. The Dow Jones industrial average lost 415 points, or 3.5 per cent. It was down almost 550 points at its lowest level of the day ― a drop of 4.3 per cent. The Nasdaq composite index plunged 96 points to 2,432.
The big question now is whether this was a one-day wonder or if the slide will continue on Wednesday and beyond.
A man passes an electronic sign showing the movements of the Hang Seng index in Hong Kong Tuesday.
(Lo Sai Hung/Associated Press)
The losses followed an almost nine per cent plunge overnight in Chinese stocks, their biggest drop in a decade. Investors are worried that a slowdown in China's booming economy could crimp demand for the West's goods ― especially its commodities.
Shanghai's composite index tumbled 8.8 per cent on Tuesday to close at 2,771.79, its largest percentage decline since the death of Communist party elder Deng Xiaoping in February 1997.
Shanghai's stock index had hit a record high just the day before, after doubling in the past year. Some analysts blamed profit taking after such an explosive run-up in share prices. Rumours were also flying that Beijing might bring in a capital gains tax to try to rein in the sizzling Chinese economy.
In Hong Kong, the benchmark Hang Seng index fell 1.8 per cent, while Singapore's Straits Times index dropped 2.3 per cent. The benchmark index of the London stock market slipped 2.5 per cent, while France lost 2.9 per cent and Germany's DAX lost 2.4 per cent.
