Question

A review of the Global equity markets, including Europe, Asia, the U.S. and the Americas. Discuss the changes and what the financial press is claiming the causes are. Also include one stock that had a large price change and what caused what it.

Here is an example:

Stocks:                                    Value:                                     %Change

DOW JONES (US)                24,360.14                                -0.50%

S&P 500 (US)                        2,656.30                                  -0.29%

FTSE 100 (UK)                     7,264.56                                  +1.4%

NIKKEI 225 (JPN)                21,778.74                                +0.55%

HANG SENG (HK)               30,808.38                                -0.07%

S&P/TSX (CA)                      15,273.97                                +0 .03%

RTS (RUS)                            1,104.51                                  -1.83%

review:

• US stocks were down Friday because of political uncertainty, but they were up for the week totals. This is because fears of a trade war are going down and that Trump made it sound like he was open to rejoining the Trans-Pacific Partnership free trade deal.

• The Nikkei went up because fears of military intervention in Syria are lessening.

• The Hang Seng went down because China reported a surprise trade deficit.

Answer 1

The question describes the discussion of the cause of the changes of the major stock exchange indexes in the world, here we can set a discussion according to the review of the financial press claiming,before that we want to make more clarity on the stock exchanges & what are the major cause of the changes –

Basically any stock exchange in the country tell us about the market movement of the major listed company in the particular nation, for example S& P 500 is the market indicator of the US stock exchange ,having the listed companies which set the positive or negative trend of the markets according to the market news & fundamentals of the companies.

Let’s discuss the review in details one by one –

• US stocks were down on Friday because of the political uncertainty that shows the less clarity on policy & decision making scenario which involve the negative trend of the investment tools of the market, people are not in the situation to make decision about the investment on the particular stock or bonds ,then people decides the short setting on the stock for the short term basis, that makes the markets in negative or down side. For any country political risk consider as the market risk which cannot be avoided by any of the country.   
• We read further review then we can say US market was up for further week due to a positive news related to the trade war in US & pacific countries ,now countries are agreed on free trade which show the increase of the positive trade among countries, theat results positive growth amongst the involving organization & contribution of the growth of the valuation of the listed companies, which makes the positive trend of the stock exchange & it was the major cause for the upward movement of the stock market.
• Nekkei went up due to the positive news as less involvement of the military movements in Syria, which make sure the less expenditure in military movements & good for the investment cycle of the country. Actually military exercises in the world are very costly & directly affect the wealth of the any involved country in military movement so it was the reason here for the upward trend of the Nekkei.
• Hong Cong stock exchange Hang Seng went down due to the news of the trade deficit reported in China ,so what is the effect of this news to the hang seng (HK) ? here we can discuss, china & Hong Cong are the neighboring country & they are majorly involved with the trade of commodities, the both countries are also involve in the investment to each other. The news of trade deficit says the less export for the china & that means loss in the trade between countries, which will directly impact on the FII ( foreign institutional investment ) investment into the hang Seng (HK) ,this is the reason behind the downward trend of the Hang Seng stock exchange .
• Large price change stock – facebook

The news reported as the security breach of the personal data of Americans & other parts of the world, & this news was very much negative due to the personal data breach as involved with security conduct in all over the world, this news was directly absorbed by the markets & facebook stock went down drastically & almost reached to the half of the valuation in just a few days. Market news related to the stock it might be positive or negative,it always absorbed by the market very quickly, here the facebook is the example .