With significant losses U.S. indexes ended the exchange session on Tuesday. Decrease was caused by a data consumer confidence in the country, which showed a greater decline in June compared to expectations of market experts. “Even a technical recession to end last summer, consumers remain concerned about their jobs and future income, refrain from purchases that would contribute to sustainable GDP growth,” Dan told MarketWatch Griyhaus, chief analyst at the investment company Miller Tabak. His words are confirmed by statistics on U.S. consumer confidence this month, which fell after three consecutive increases. According to the confidence index of business organization Conference Board decline quite sharply – up 52.9 points to 62.7 points in May. Expectations of most economists was for a value of 62 points in June. The organization indicated that the main reason for the decline is precisely the uncertainty about the future of the labor market. While no permanent recovery observed in this market can hardly be expected improvement in consumer confidence and consumption, respectively, analysts say. Exchange session ended in New York for Dow Jones Industrial Average with the collapse of 2.64 per cent to 9871 points, S & P 500 fell 3.1 percent to its lowest level this year – 1041 points, and Nasdaq Composite marked loss nearly 3.9 percent to 2135 points.
A separate report showed earlier in the day that housing prices in the U.S. rose more strongly than expected in April on an annual basis, but these data have little influence on the market, more so in the realty sector forecasts for the future remain uncertain. Gloomy moods and there during the European trading, the losses of the main indexes of the Old Continent were between 3 and 4 per cent. Among losers, they had shares of the banking sector amid fears of financial institutions in Spain, which will soon cease to enjoy preferential funding from the European Central Bank. Large banks continued to lobby for continuous financial mechanism, whose suspension would significantly limit the money supply in the banking market, but so far attempts to influence the ECB have failed.