Equities fell in the markets globally on Friday trading. The major concerns were the Chinese signs of slowing economy, Brexit-situation and the ongoing US China tradetalks. Dow Jones fell 2,02 % to 24 100 points, S&P 500 fell 1,91 % to 2599 and technology Nasdaq-index dropped 2,26 % to 6910 points.
The macro data regarding the Chinese retail sales was a disappointment for the markets and the Asian stocks fell as well. Tokio Nikkei 225-index ended down 2,02 % to 21374 points and Hang Seng in Hong Kong fell 1,62 % to 26 094 points.
In Europe stocks in London ended down 0,47 % and FTSE 100 stood at 6845 points. German DAX-index ended down 0,54 % to 10865 and CAC40 -index in Paris ended down 0,88 % to 4853 points.
According to Citigroup analysis, the company earnings are expected to rise on average 8 % in the US next year by the analysts compared to 6 % growth by markets strategists and 4% by the markets itself. In Europe the difference is wider, while the analysts expect the company earnigns to grow on average by 8 % e and strategists by 2 % in 2019. The markets expectation is -4 %, Bloomberg news reported.
The slowing economy signs have also increased the expectations that the US Federal Reserve would have fewer rate rises in 2019 than earlier estimated. The European Central Bank signaled on Thursday that the ECB in ready to operate and feed the system in case of sudden economic turnarounds and political situations. At the same time the bank also announced the end of the bond buying programm.
The UK EU Brexit deal was on the news as well. The EU leaders declined to open the deal for new negotiations, but there where willingness to help the UK with the border issue. UK Prime Minister Theresa May said in Brussels that she feels that there could be more assurances while the talks will continue. The UK Parliament is going to vote about the deal during January 2019.
Euro fell against US dollar and was down 0,48 % at 1,130 dollars. The UK sterling fell 0,47 % to 1,258 dollars.