A declining trend has been recorded this morning in the Asian stock markets led by financial sector stocks after the Goldman-Sachs bank recorded a decline in profits and the publication of Chinese growth data awakened concerns of continuation of monetary tightening policies by the Chinese government. As such, the Tokyo stock exchange declined by 1.1%, Seoul dropped by 0.6%, while the Hong Kong stock exchange dropped by 1.3% of its value.
In the global macroeconomic sphere, the United States Department of Trade reported yesterday that the amount of new construction projects in the United States has dropped by 4.3% to an annualized rate of 529 thousand, the lowest rate since October 2009, below that predicted by analysts. That said, the amount of building permits leaped up by 16.7% to an annualized rate of 635 thousand, the highest rate since March.
China's GDP grew by 9.8% in the fourth quarter of 2010, this due to growth in industrial production and retail sales. Accelerated growth in China has raised concerns that decision makers in the country will make additional steps to tighten monetary policy, such as an additional rise in the interest rate.
The IEA has warned yesterday of the possibility of oil prices rising to 100 United States dollars for one barrel of oil. The agency announced that a price of 100 United States dollars for one barrel may form a burden, knocking down the global GDP by 5%. Crude oil prices have declined yesterday due to disappointing data from the United States construction sector and a strengthening of the United States dollar against the leading currencies. Crude oil futures for February have declined by 0.6%, locking at a price of 90.85 United States dollars for one barrel of oil on the New York Commodities Exchange. Also at the commodities exchange, the price of gold rose yesterday by 0.2%, locking at a level of 1,370.20 United States dollars for one ounce of gold.