This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

European Woes Weigh On World Markets

By PAMELA SAMPSON

BANGKOK (AP) â¿¿ Disappointing news about Germany's economy sent Asian stock markets down on Friday.

Europe's biggest economy contracted a worse-than-expected 0.6 percent in the last quarter of 2012 as recession deepened across the 17 European Union countries that use the euro. It was Germany's worst performance since early 2009, amid a global recession.

The worry for European policymakers is that output is declining beyond weaker, debt-laden economies like Greece and Spain. France, Europe's second-biggest economy, also saw output drop.

"A number of analysts have been making the case for quite some time now that the worst in Europe is probably behind us; however the steepness of the contractions ... appears to have given markets pause," said Michael Hewson of CMC Markets in an email commentary.

The slowdown in Europe was gloomy news for Asia, which depend on exports to the region to help drive their economies.

Japan's Nikkei 225 index fell 0.9 percent to 11,207.93. Hong Kong's Hang Seng dropped 0.1 percent to 23,400.28. South Korea's Kospi was nearly unchanged at 1,979.84. Australia's S&P/ASX 200 flatlined at 5,036.90. Benchmarks in Singapore and New Zealand also fell. Mainland China and Taiwan were closed for Lunar New Year holidays.

Stocks ended little changed on Wall Street as a slowdown in Europe's economy overshadowed an encouraging report on the U.S. jobs market. The Labor Department on Thursday reported a sharp drop in the number of Americans applying for unemployment benefits. Weekly applications fell 27,000 to a seasonally adjusted 341,000.

The Dow Jones industrial average fell 0.1 percent to 13,973.39. The S&P 500 index edged up 0.1 percent to 1,521.38. The Nasdaq composite rose less than 0.1 percent to 3,198.66.

Benchmark oil for March delivery was up 10 cents to $97.41 per barrel in electronic trading on the New York Mercantile Exchange. The contract rose 30 cents to finish at $97.31 per barrel on the Nymex on Thursday.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,976.31 +263.65 1.49%
S&P 500 2,086.24 +25.22 1.22%
NASDAQ 4,947.4410 +56.2220 1.15%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs