Reuters - Video

Edition: U.S. | U.K. | IN | CN | JP

Business

Wall St. spooked by China forecast

Monday, March 05, 2012 - 01:31

Mar 5 - Summary of business headlines: Wall Street falls as China cuts annual economic growth forecasts, overshadowing U.S. non-manufacturing strength; Yahoo working on big restructuring, job cuts -blog. Conway G. Gittens reports.

▲ Hide Transcript

View Transcript

The first trading day of the week finished with a modest sell-off amid worries of slower economic growth. It was data out of China which set the tone for Wall Street. Beijing downgraded its economic growth projections to 7-1/2 percent for 2012, putting China on track for its weakest growth in eight years. Not even figures showing the U.S services sector grew in February at its fastest pace in a year was enough to undo global economic jitters. Company watchers were focused on Yahoo. According to a technology blog, the former Internet darling is preparing a major restructuring that could result in thousands of job cuts. An announcement could come as early as the end of this month, according to blog AllThingsDigital.com. When asked to comment - Yahoo said in an email statement "our leadership is engaged in a process that will generate significant strategic change at Yahoo." But the company declined further comment. Back to Wall Street and the final numbers. The Dow dropped 14 points, the S&P 500 was down 5 points and the Nasdaq gave up 25 points. Stocks were down in Europe as well with investors nervous about Greece's efforts to restructure government debt. Germany shed 54 points. France lost 13 points. And in the U.K. stocks were down 36 points. Conway Gittens, Reuters

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Wall St. spooked by China forecast

Monday, March 05, 2012 - 01:31