The U.S. Capitol Building is seen in Washington, U.S., August 31, 2023. REUTERS/Kevin Wurm/File Photo Acquire Licensing Rights
A look at the day ahead in U.S. and global markets by Mike Dolan
After the worst week since March on Wall St, three issues keep the pressure – a possible U.S. government shutdown at the end of this week, rising annual oil prices and a heavy diary of Treasury debt sales.
Even before U.S. markets kick off on Monday, China’s ongoing property bust threw another curve ball at stocks markets there.
Shares of the ailing China Evergrande (3333.HK) plunged 21.8% after the developer said it was unable to issue new debt due to an ongoing investigation into one of its subsidiaries, dealing a fresh blow to its restructuring plans.
Country Garden (2007.HK) fell more than 7% as investors nervously watch out for its latest dollar bond coupon payment on Wednesday.
Concerns about the smouldering real estate problem knocked China’s main bourses (.CSI300) again by another 0.6%, but Hong Kong’s Hang Seng (.HSI) plunged 1.8%.
Perhaps as worrying for foreign investors was anxiety surrounding the fate of Nomura’s head of China investment banking Charles Wang Zhonghe as Chinese authorities overseeing the firm’s banking operations ordered him not to leave the mainland.
With world markets also still smarting generally from hawkish U.S. Federal Reserve soundings last week, MSCI’s all-country index hit its lowest level since June 2 and was down for the seventh trading session in a…
