Markets tumble on China’s devaluation

Markets tumble on China’s devaluation

Markets tumble on China’s devaluation China’s shock decision to devalue its currency has sent ripples around the world with most major markets suffering losses. The dollar surged against the yuan impacting the price of resources and their producers.

The Toronto Stock Exchange which had gained strongly in the previous session dropped more than 1 per cent before recovering some of the losses in later trading. The loonie dropped half a cent.

Wall Street ended lower with Apple dropping 5 per cent on fears that a weak Chinese economy will hit its sales there. Asian markets had already closed mostly lower earlier in the day and European indexes dropped sharply.

The S&P/TSX Composite Index closed down 51.72 (0.36 per cent)
The Dow Jones closed down 213.3 (1.21 per cent)
Oil is trending lower (Brent $49.35, WTI $43.29 at 4.30pm)
Gold is trending lower (1108.00 at 4.30pm)
The loonie is valued at U$0.7627