Reuters - Video

EDITION: U.S. | U.K. | IN

Top News

Stocks hostage to fiscal cliff fear

Thursday, 15 Nov, 2012 - 01:56

Nov. 15 - Summary of business headlines: Dow, Nasdaq slip to five-month low on fiscal cliff concerns; Wal-Mart sales disappoint, but Target beats; Superstorm Sandy damages business activity in the Mid-Atlantic and jobless claims spike; Global markets turbulent as Mideast violence escalates and euro returns to recession. Conway G. Gittens reports.

▲ Hide Transcript

View Transcript

Stocks are down three days in a row with Wall Street fixated on the fiscal cliff debate in Washington. The Dow and Nasdaq sit at their lowest close in five months. But there was more to worry about than possible mandatory spending cuts and tax hikes. Global revenues were lighter than expected at Wal-Mart as it lowers prices to try and spur demand. The retailer also says an internal bribery probe is spreading beyond Mexico to Brazil, China, and India. Shares of the world's largest retailer - down 3.6 percent on the day. But shares of discount rival Target rallied after beating quarterly forecasts. The latest economic figures - giving investors little reason to go shopping as the impact of Superstorm Sandy shows up in the data. Business activity in the Mid-Atlantic states unexpectedly shrank in November, according to the Philadelphia Federal Reserve. And the Labor Department says jobless claims surged last week. Escalating tensions in the Middle East weighed on investors' minds in the U.S. and Israel. There was tit-for-tat rocket fire between the Israelis and Palestinians. Rafael Gozlan is chief economist at IBI in Tel Aviv. SOUNDBITE: RAFAEL GOZLAN, CHIEF ECONOMIST, IBI (ENGLISH) SAYING: "What actually happened today was a normal reaction to the tension in Gaza. The stock exchange opened quite lower about minus two percent in the morning. The Israeli shekel weaken by more than one percent from yesterday's low and bond market actually suffered something like minus 0.7 in the long term bond. But along the day there was a substantial improvement." Sticking with global markets, European investors digested news the euro zone slipped into recession for a second time. But the downside was limited as France and Germany, the bloc's largest economies, narrowly averted contraction.

Stocks hostage to fiscal cliff fear

Thursday, 15 Nov, 2012 - 01:56

Editors' Picks »

The Exchange »

The Exchange: Hot commodity The Exchange: Hot commodity

Wed, 16 Jul, 2014 - (9:25)

The Exchange: Constitutional crusade The Exchange: Constitutional crusade

Wed, 25 Jun, 2014 - (11:35)

The Exchange: The value of money The Exchange: The value of money

Mon, 02 Jun, 2014 - (9:53)

The Exchange: China’s Second Continent The Exchange: China’s Second Continent

Tue, 27 May, 2014 - (9:35)

The Exchange: A master of business arts The Exchange: A master of business arts

Thu, 08 May, 2014 - (8:24)

The Exchange: America's bankrupt cities The Exchange: America's bankrupt cities

Mon, 05 May, 2014 - (8:52)

The Exchange: Let the rocking commence The Exchange: Let the rocking commence

Tue, 08 Apr, 2014 - (8:13)

The Exchange: The Moneyball fallacies The Exchange: The Moneyball fallacies

Mon, 24 Mar, 2014 - (9:54)

Is doing good a good business? Is doing good a good business?

Mon, 17 Mar, 2014 - (7:38)

Oddly Enough »

Group shatters record for longest flower garland by a mile Group shatters record for longest flower...

Wed, 27 Aug, 2014 - (1:30)

Masked hero sweeps clean Masked hero sweeps clean

Tue, 26 Aug, 2014 - (1:10)

Right muddy mess at World Bog Snorkeling Championships Right muddy mess at World Bog Snorkeling...

Tue, 26 Aug, 2014 - (1:11)

Hello Kitty conquers space Hello Kitty conquers space

Mon, 25 Aug, 2014 - (1:11)

Japanese zoo welcomes red panda cub Japanese zoo welcomes red panda cub

Mon, 25 Aug, 2014 - (0:42)

Is it a plane? No, it's a hoverbike Is it a plane? No, it's a hoverbike

Fri, 22 Aug, 2014 - (2:40)

Fox kicks off "Simpsons" mega marathon Fox kicks off "Simpsons" mega marathon

Thu, 21 Aug, 2014 - (0:56)

Six-story tall duck floats into L.A. port Six-story tall duck floats into L.A. port

Thu, 21 Aug, 2014 - (1:02)

Young artist paints surreal illusions on bodies Young artist paints surreal illusions on...

Thu, 21 Aug, 2014 - (1:30)

Snow leopard cubs make Bronx Zoo debut Snow leopard cubs make Bronx Zoo debut

Wed, 20 Aug, 2014 - (0:41)

Reuters Investigates »

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, 19 Feb, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, 10 Jan, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, 29 Aug, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, 29 Aug, 2013 - (13:21)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, 05 Aug, 2013 - (1:36)

How education lost its role as the great equalizer - Reuters Investigates How education lost its role as the great...

Mon, 17 Dec, 2012 - (7:52)

Jihad Jane: From abused child to American jihadist - Reuters Investigates Jihad Jane: From abused child to American...

Sun, 09 Dec, 2012 - (10:01)

Jihad Jane: The order to kill - Reuters Investigates Jihad Jane: The order to kill - Reuters...

Mon, 10 Dec, 2012 - (10:39)

Moving Pictures »

Mending dolls, teddies and hearts Mending dolls, teddies and hearts

Fri, 22 Aug, 2014 - (3:12)

"Old timers" sail the Chesapeake Bay "Old timers" sail the Chesapeake Bay

Mon, 11 Aug, 2014 - (2:27)

Burned memories Burned memories

Fri, 08 Aug, 2014 - (3:02)

Images of July Images of July

Fri, 01 Aug, 2014 - (1:20)

World Cup: passion on the pitch World Cup: passion on the pitch

Fri, 11 Jul, 2014 - (1:00)

A refugee in America gives back A refugee in America gives back

Thu, 03 Jul, 2014 - (3:25)

A long search for refuge A long search for refuge

Fri, 20 Jun, 2014 - (3:04)

World Cup: Around the globe in 50 goals World Cup: Around the globe in 50 goals

Fri, 06 Jun, 2014 - (1:08)

VIVID – Sydney’s spectacle of light VIVID – Sydney’s spectacle of light

Fri, 30 May, 2014 - (1:37)