Major indices fall in US - ZENMoney

In US markets, Major indicies fell in tandem with a sharper decline in European stock markets as investors took a cautious stance ahead of the Federal Reserve chief's testimony to a US congressional panel on Wednesday along with mixed US economic data coupled with losses in commodity shares and utilities. Shares of Coca-Cola Co fell after the company reported second-quarter sales were weaker than expected as global economic weakness and cool weather crimped consumption of soft drinks.

On the European front, the British benchmark indices fell due to a surprise dip in German confidence and the earnings outlook fed mild profit-taking while markets awaited fresh clues on US monetary stimulus. The Swedish bank dropped after it posted a fall in second-quarter earnings and said that margins could be weaker in the coming months as a result of increased competition in the country's mortgage market.

Nikkei opened on a negative note during the morning session due to overnight losses on Wall Street coupled with a strengthening yen against US dollar along with expectations that Federal Reserve Chairman Ben Bernanke will reiterate later in the day that US monetary policy is to stay accommodative before Congress.

Source : Equity Bulls

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