Major indices in US closed in losses on Thursday - ZENMoney

In US markets, Major indices closed in losses as investors worried that a budget stalemate in Congress would become entangled with much more critical legislation to raise the federal borrowing limit. A weaker-than-forecast growth in US service industries added further downward pressure to the indices. Stocks trimmed losses after the New York Times reported that House Speaker John Boehner told colleagues that he would not let the United States default on its debt. US stocks briefly extended losses in late afternoon after shots were fired outside the US Capitol but quickly recovered.

On the European front, the British Bench mark closed with marginal gains after a US appeals court ordered a reconsideration of key terms of a settlement in the 2010 Gulf of Mexico oil spill case. However, The upside in the indices were limited due to shutdown of the US government continued along with weaker than expected US service-industry activity.

Nikkei opened on a negative note during morning due to overnight fall in US markets along with ongoing concern tussling over the US budget will impede negotiations over raising the debt limit. A strengthening Yen against US dollar pressurised the indices further.

Source : Equity Bulls

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