The stock markets in the leading economies of the world rose on Monday as the concerns of a global economic slowdown shed, where the economic indicators of China, U.K, Japan, and Australia showed a substantial improvement in the economic activity.
A strong movement was seen in the Asian stock market where Japanese shares rallied massively amidst the Japanese yen weakening against the U.S dollar. Moreover, the Chinese economy overshadowed its disappointing figures that were recorded in the second quarter of this year, after which its manufacturing sector rose to a 16-month high level.
Impact on Gold
The more vibrant the economic activity would be in China, the better it would be for other countries who are intact with the imports from China. Moreover, since the largest consumer of gold is China, so provided that its economy keeps growing at such a pace, then bulls would keep the gold market moving upwards.
One of the largest Japanese car-maker companies, Nissan Motor witnessed a healthy rise in their stock price where the Japanese exports increased substantially while the yen fell to a month-low level against the greenback.
Tokyo Electric Power also jumped by nearly 5.1% as the Japanese government hinted that it may announce the significant measures on Tuesday that would be directed to curb the radiated water near the nuclear plant at Fukushima Dai-Ichi locality.
Microsoft Acquires Nokia
The Big One! Yes, a sudden deal was made later on Monday where the biggest software-maker company agreed a deal on acquiring the mobile phones business of Nokia for a sum equals to nearly $7.2 billion.
The Finnish company was facing stiff competition for the past few years and was lagging behind in catching up with the market, despite the launch of its new Lumia series that sold well but not up to the expectations.
The deal’s major chunk goes to the payment for the devices while nearly 30% of the payment would be made for patents. Around 32,000 Nokia employees would now shift to Microsoft and would be a part of the software-maker company where it all depends on Microsoft as to whether they lay-off redundant staff or not.
The investors have taken this acquisition as not a positive omen as yet, where share prices failed to move up despite the shelter that Nokia may enjoy under the Microsoft umbrella.
To contact the reporter of this story: Jonathan Millet at firstname.lastname@example.org