Oct 2012 Financial News

Storm keeps US financial markets closed

Oct 30, 2012

Stock trading will be closed in the United States for a second day today as Hurricane Sandy bears down on the East Coast. Bond trading will also be closed.

The last time the New York Stock Exchange was closed for weather was in 1985 because of Hurricane Gloria, and it will be the first time since 1888 that the exchange will have been closed for two consecutive days because of weather. The cause then was a blizzard that left drifts as high as 40 feet (12.2 meters) in the streets.

The New York Stock Exchange and Nasdaq said they intend to reopen on Wednesday.

Much of the East Coast was at a standstill Monday as the storm approached. Mass transit and schools were closed across the region ahead of the storm hitting land, which was expected to happen late yesterday.

Areas around New York's Financial District were part of a mandatory evacuation zone. The storm surge was already pushing water over seawalls in the southern tip of Manhattan.

CME Group's New York trading floor was closed, but electronic markets were functioning. Crude oil fell 80 cents to $85.48 in electronic trading.

CME hasn't made any announcements about trading on its markets for Tuesday. CME owns exchanges that trade commodities, futures, options and securities related to interest rates.

Bond trading will be closed today. The Securities Industry and Financial Markets Association called for an early close to bond trading yesterday at noon.

Insurers such as Munich Re, Aviva PLC and Zurich Insurance fared worse than other stocks as investors worried about the potential cost of the storm's damage.

-AP


Source:
Jamaica Gleaner
Tuesday October 30, 2012

http://jamaica-gleaner.com/gleaner/20121030/business/business2.html