B&O, Facebook, Ghosn: This Week's Top Trending Financial Tweets - Week 51
#7. Japan enters bear market
Japanese stocks entered a bear market following the recent policy statements of the Bank of Japan and the Fed which added to mounting investors concerns, Bloomberg reports. The Topic index fell 2.5%, continuing its decline after the BOJ kept its policy unchanged.
The index closed almost 21% below its January high with electronics makers and telecommunication stocks being the biggest drags, according to Bloomberg.
#6. US investors react to FED rate hike
After the Fed’s fourth rate hike this week, US stocks responded by showing their sharpest sell-off since 1994, the Financial Times reports. The S&P 500 closed 1.5% lower on Wednesday hence pushing the benchmark towards its worst monthly performance since February 2009.
The US central bank has raised its rates by a cumulative 2.5 percentage points in 2018.
US equity investors delivered their sharpest response to a Federal Reserve rate rise since 1994 — after the central bank lifted interest rates for the fourth time this year.— Financial Times (@FinancialTimes) December 19, 2018
Read more: https://t.co/RToVAsapTc pic.twitter.com/Wy1BYlpQws
#5. Good news for Ghosn
In the Carlos Ghosn saga, there was good news this week for the former chairman of Nissan. On Thursday, a court in Tokyo unexpectedly decided not to extend his detention, meaning he may soon be released from prison, Reuters reports.
Ghosn was arrested last month for allegedly understating his income over a five-year period from 2010. The scandal that followed has shaken the Renault-Nissan-Mitsubishi alliance and let to the ousting of Ghosn as Nissan’s chairman.
So far, Renault has not replaced Ghosn as head of the French carmaker.
#4. London’s property value
For only the second time since 1995, the value of London homes will close the year lower (down 0.1%), Bloomberg reports. Prices may drop 2% over 2019, which would be the first decline since 2008.
Unsurprisingly, the property market of the UK’s capital suffers from the uncertainty over the outcome of Brexit, a shaky economy and prices that have outpaced average wages for years, Bloomberg continues.
London's property values will close the year lower for only the second time since 1995 https://t.co/fQVlq6b1M3— Bloomberg (@business) December 20, 2018
#3. Finance execs are losing confidence
According to a survey done by Deloitte, the growing trade risks have soured the sentiment among senior finance officers operating in China, CNBC reports. The consultancy firm asks financial executives twice a year about their views on trade and business in China.
According to the same CNBC article, 82% of respondents said their economic outlooks had worsened when they were asked about the change in sentiment over the past six months. This is is a considerable drop from the previous poll, where only 30% said their expectations had become less positive.
Top finance execs are losing confidence in China's economy, survey shows https://t.co/bBA8W56SFn— CNBC (@CNBC) December 20, 2018
#2. Facebook shares sink
2018 has been an eventful year for Facebook. And the fallout from the Cambridge Analytica scandal earlier this year continues. The stock of the world’s largest social media company fell 7.25% on Wednesday.
The Facebook shares fell as concerns about the company’s ability to protect user data sparked a government lawsuit, criticism in the US Congress and a New York Times report on how it has shared data with other companies, Reuters reports.
Wednesday’s drop takes Facebook’s losses for the year to around 24%.
#1. Bang & Olufsen cuts revenue outlook
On Thursday, luxury TV and stereo manufacturer Bang & Olufsen A/S lost more than a quarter of its market value in the first few moments of trading in Copenhagen after cutting its revenue outlook, Bloomberg reports.
The company’s shares fell 26% shortly after the market opened, wiping out $180 million of its value.
LATEST: Bang & Olufsen loses more than a quarter of its market value in the first few moments of trading in Copenhagen after cutting its revenue outlook https://t.co/u5Ov0IfFvi pic.twitter.com/7NcggvKmO6— Bloomberg (@business) December 20, 2018
And that's a wrap. As always, we’ll continue to track Twitter and bring you the top financial micro-messages from the web. See you back here next week.