100s of titles, one news app for just $10 a month.
Dive Deeper:
Global stocks, euro slump over US inflation alarm
London (AFP) - World equities tanked Thursday and the euro hit a five-year dollar low as slowing US inflation failed…
Global stocks down, euro slumps over growth and inflation worries
New York (AFP) - World equities mostly fell Thursday, and the euro hit a five-year dollar low as investors worried…
Stocks advance despite US inflation miss
London (AFP) - US and European stocks mostly advanced Wednesday despite data that showed US inflation slowed down less than…
US stocks fall, oil rallies as inflation stokes market volatility
New York (AFP) - Wall Street stocks slumped and oil prices rallied Wednesday as markets churned with more volatility after…
One subscription that gives you access to news from hundreds of sites
Stock markets jump before key US inflation data
London (AFP) - Stock markets rose solidly Wednesday as investors awaited the latest inflation print from the United States that…
Asian stocks mixed, Europe opens higher as investors fret over inflation
Hong Kong (AFP) - Asian stocks were mixed on Wednesday, following a volatile day on Wall Street with investors concerned…
Get all your news in one place
Latest Business news:
Bitcoin Recovers to $30,000 Area After Shedding Weekend Weakness
Bitcoin recovered to around $30,000 after spending most of the weekend below that level.
Read news from The Economist, FT, Bloomberg and more, with one subscription
Learn More
How to Make Money (or Even Get Rich) During a Stock Market Crash
A crash creates buying opportunities if you can develop the right mindset.
HSBC suspends head of responsible investing who called climate warnings ‘shrill’
Bank investigating Stuart Kirk’s conference speech deriding flooding risks and climate warnings from UN and Bank of England
Former NAB manager quizzed on Star scheme
A former NAB employee has told an inquiry into Star Entertainment Group's Sydney casino he had no knowledge of a…
After $5 Trillion Rout, Emerging Markets Seek Turnaround Signal
The wreckage of a $5 trillion rout in emerging markets is starting to look like a buying opportunity to some…
From analysis to good news, read the world’s best news in one place
New Zealand PM Ardern to visit U.S. to boost exports, lure tourists
New Zealand Prime Minister Jacinda Ardern will visit the United States this week in a bid to boost exports and…
Rod Sims says Facebook should be forced to negotiate with SBS under news media bargaining code
Despite dozens of deals to pay Australian news publishers for content, social media company has left out SBS and the…

Global stocks slump on alarm over US inflation

By Roland JACKSON
US consumer price inflation slowed slightly last month, jumping 8.3 percent compared to April 2021. ©AFP

London (AFP) - World equities tanked Thursday as slowing US inflation failed to dent fears of rising global interest rates and sent oil prices diving on demand concerns.

The European single currency sank to a January 2017 low at $1.0422 as the greenback was lifted by its haven status.

Frankfurt, London and Paris stock markets each sank more than two percent in midday deals after heavy falls in Asia and on Wednesday in the United States.

Panic-stricken investors also sent virtual unit bitcoin tumbling to the lowest level since late 2020 after a dramatic collapse in some stablecoin cryptocurrencies.

US inflation slowed to 8.3 percent in April after a four-decade peak of 8.5 percent in March, data showed overnight.

'Another cruel blow'

"While it will come as a relief that (US) inflation has finally peaked and the deceleration has started, the fact that it didn't do so nearly as much as expected is just another cruel blow to households and the economy," Oanda analyst Craig Erlam told AFP.

"Central banks are going to have to do more if (inflation) data does not drastically improve in the next few months."

Investors had hoped the US consumer price data would lower pressure on the Federal Reserve to hike borrowing costs.

However April's reading eclipsed market expectations of 8.1-percent inflation.

Interest rates are being hiked worldwide to tackle decades-high inflation, which is fuelled mostly by rocketing energy costs.

London's stock market was slammed Thursday also by news that the UK economy shrank in March on fallout from soaring inflation, increasing the prospect of a recession -- or two quarters of contraction in a row.

The data sent the pound sliding to a May 2020 low at $1.2166.

World markets have been volatile for much of 2022 owing to China's Covid-19 lockdowns, Russia's invasion of Ukraine, and as surging inflation weighed on consumer sentiment. 

US President Joe Biden called April's overall slowdown "heartening" -- but acknowledged inflation was still a major challenge.

"Bringing it down is my top economic priority," he said.

Key figures at around 1115 GMT

London - FTSE 100: DOWN 2.1 percent at 7,195.76 points

Frankfurt - DAX: DOWN 2.0 percent at 13,550.53

Paris - CAC 40: DOWN 2.3 percent at 6,125.54

EURO STOXX 50: DOWN 2.2 percent at 3,567.30

Hong Kong - Hang Seng Index: DOWN 2.2 percent at 19,380.34 (close)  

Shanghai - Composite: DOWN 0.1 percent at 3,054.99 (close) 

Tokyo - Nikkei 225: DOWN 1.8 percent at 25,748.72 (close)

New York - Dow: DOWN 1.0 percent at 31,834.11 (close)

Brent North Sea crude: DOWN 1.3 percent at $106.15 per barrel

West Texas Intermediate: DOWN 1.3 percent at $104.34 per barrel

Euro/dollar: DOWN at $1.0442 from $1.0513 at 2100 GMT Wednesday

Pound/dollar: DOWN at $1.2211 from $1.2251

Euro/pound: DOWN at 85.53 pence from 85.81 pence

Dollar/yen: DOWN at 128.58 yen from 129.97 yen

burs-rfj/bcp/rl

What is inkl?
The world’s most important news, from 100+ trusted global sources, in one place.
Morning Edition
Your daily
news overview

Morning Edition ensures you start your day well informed.

No paywalls, no clickbait, no ads
Enjoy beautiful reading

Content is only half the story. The world's best news experience is free from distraction: ad-free, clickbait-free, and beautifully designed.

Expert Curation
The news you need to know

Stories are ranked by proprietary algorithms based on importance and curated by real news journalists to ensure that you receive the most important stories as they break.

Dive Deeper:
Global stocks, euro slump over US inflation alarm
London (AFP) - World equities tanked Thursday and the euro hit a five-year dollar low as slowing US inflation failed…
Global stocks down, euro slumps over growth and inflation worries
New York (AFP) - World equities mostly fell Thursday, and the euro hit a five-year dollar low as investors worried…
Stocks advance despite US inflation miss
London (AFP) - US and European stocks mostly advanced Wednesday despite data that showed US inflation slowed down less than…
US stocks fall, oil rallies as inflation stokes market volatility
New York (AFP) - Wall Street stocks slumped and oil prices rallied Wednesday as markets churned with more volatility after…
One subscription that gives you access to news from hundreds of sites
Stock markets jump before key US inflation data
London (AFP) - Stock markets rose solidly Wednesday as investors awaited the latest inflation print from the United States that…
Asian stocks mixed, Europe opens higher as investors fret over inflation
Hong Kong (AFP) - Asian stocks were mixed on Wednesday, following a volatile day on Wall Street with investors concerned…
Get all your news in one place