A roundup of trading on major world markets:
NEW YORK – US stocks have fallen sharply after China unexpectedly devalued its currency, as Apple, General Motors and other companies heavily exposed to China dropped.
The Dow Jones Industrial Average closed down 212.33 points (1.21 per cent) at 17,402.84 on Tuesday.
The broad-based S&P 500 fell 20.11 (0.96 per cent) to 2,084.07, while the tech-rich Nasdaq Composite Index tumbled 65.01 (1.27 per cent) to 5,036.79.
China’s central bank devalued the yuan against the US dollar 1.86 per cent, the largest cut since the yuan was unpegged from the greenback in 2005.
The move raised concerns about a strengthening US dollar and whether the Chinese economy is weaker than thought.
LONDON – European stock markets fell at the start of trading as Greece reached a deal over a third bailout and after China devalued the yuan to boost its economy.
London’s benchmark FTSE 100 index on Tuesday dropped 0.41 per cent to 6,708.80 points.
Frankfurt’s DAX 30 slipped 0.49 per cent to 11,548.00 points and the CAC 40 in Paris lost 0.22 per cent to 5,184.21.
Greece has reached a deal on a multibillion-euro bailout with its international creditors after marathon talks, a government source said on Tuesday.
HONG KONG – Asian shares were mixed, with Shanghai and Hong Kong ending rollercoaster sessions flat as investors weighed China’s currency devaluation, while other regional markets fell.
Tokyo closed down 0.42 per cent, or 87.94 points, at 20,720.75 while Sydney fell 0.65 per cent, or 35.96 points, to close at 5,473.2.
In Hong Kong, the benchmark Hang Seng Index edged down 22.91 points to 24,498.21.
On the mainland, the benchmark Shanghai Composite Index dipped 0.51 points to close at 3,927.91.
The Shenzhen Composite Index, which tracks stocks on China’s second exchange, added 0.41 per cent, or 9.43 points, to 2,284.27.
WELLINGTON – The S&P/NZX 50 Index dropped 42.67 points, or 0.7 per cent, to 5822.35.
