After the FOMC meeting conducted yesterday just before the ending of the US trading session, the members hinted towards the presence of having a stable condition of the economy that allowed the greenback to gain not only against the British Pound but also the Japanese yen. The S&P 500 index dropped instantly from its 1843 level down to 1825 level, after which it was further brought down by the sellers today where the index is hovering at 1820 level.
Following this move, the start wasn’t that good today for the Asian markets as the bears took control and shorted the markets where other fundamentals from China were disappointing as well. The Chinese manufacturing index took a major dip and is being compared with its seven-month old low that it touched, hence indicating a bit slowdown in the manufacturing sector in the country.
The MSCI Asia index slipped by around 1.2% today and FTSE 100 index lost nearly 0.7%. Also, the Japanese treasuries gained massively along with the Japanese yen that rebounded from its previous drop against the majors on Tuesday.
Riots and Commodities
Riots that are going on in Venezuela, Thailand, and Ukraine could technically have taken the commodities including gold, silver, and copper upwards but they are playing in a range because the largest consumer of such commodities is facing some slowdown in the manufacturing sector due to which the bulls are wary of entering the market since they believe the demand is going to slide down.
These types of acquisitions show that the technology bubble is still there across the globe and much potential is there in the I.T sector, where innovation and continuous improvement is what matters a lot.
Facebook Buys WhatsApp
In other news, the social media giant – Facebook – is said to have agreed on acquiring the messaging service application – WhatsApp – for a sum as big as $19 billion that is being considered to be more than enough for a company having merely 50 employees and monthly users of nearly 450 million.
To contact the reporter of this story: Jonathan Millet at email@example.com