Asian markets ended lower today following an announcement of China central bank tightening.
The People's Bank of China announced yesterday that it would raise reserve requirements for banks. Hong Kong's Hang Seng index slipped 2.59%, while Tokyo's Nikkei 225 closed down 1.32%, while the Shanghai Composite fell most sharply with a decline of 3.09%.
European markets are mostly up, with the DAX gaining 0.42% during the pre-market hours in New York. The German index gained despite data issued by the Federal Statistics Office showing that the German economy contracted more than expected, dropping 5% in 2009. This was the first drop since 2003. German exports were hurt, in particular, dropping 14.7%.
The UK was the notable exception in the European rally. The FTSE 100 quickly erased its early gains to trade at a loss of 8.42 points, or 0.15%. Early in the European trading session, the UK government released flat manufacturing data that missed expectations.
In pre-market futures trading, the S&P 500 is up 2.5 points and the Dow up 14 points. Linear Technology, a member of the S&P 500, released its earnings yesterday after the market closed. It beat analysts' estimates with a profit of 33 cents per share. In pre-market trading, it is up 1.22% from yesterday's close of $30.23.