The stock markets are sunk by the collapse of the GDP of the USA and Germany. In particular, the stock markets of the Old Continent are sinking on the poor quarterly results of growth in the economies. And Piazza Affari also sinks under the weight of banks and energy stocks. But let’s see what happened today.
The stock markets are sunk by the collapse of the GDP of the USA and Germany
It was a very tough day for the stock exchanges with declines that reached up to 4%. The prices of the American and German GDP made the prices sink. The negative quarterly results of the companies, which made themselves felt particularly in Piazza Affari, also contributed.
In the second quarter of the year, the gross domestic product of the United States decreased by 32.9%, the worst collapse since 1947. A decline even greater than that of the great economic crisis that occurred in the 1930s.
To this profoundly negative figure, was added the bad data of the gross domestic product of the second quarter of the German economy. The economy of Berlin contracted by 10.1%, worst decline since 1970. The figure is lower than expected for a 9% contraction.
European stock exchanges sink, but not Wall Street
These two data spiked the European stock exchanges. At the end of the session, the German Dax index lost 3.5%, but went down to 4%. The Italian index Ftse Mib (INDEX-FTSEMIB), lived a session in constant descent. At the end it closed at 19,228 points down 3.3%. A perhaps unexpected collapse in size. But the crunches in Piazza Affari had already started to be heard from some sessions (as we indicated in this article).
It should be noted that the Italian and German exchanges were the worst in Europe. And they suffered a drop far greater than the downward trend in the American indices. In fact, with such negative data on US GDP, an opening of the American stock market was expected in deep red. Instead, after 2 hours of trading, at the end of trade in Europe, the S&P 500 index lost 0.7% and the Nasdaq 0.1%. This is a very curious fact worth reflecting on.
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