WAKE UP: Global Stocks Are Mixed Despite More Bad News

Croissant Breakfast

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Stocks are mixed despite another day of gloomy headlines.Shanghai fell 1.4% following yesterday’s good GDP data, which paradoxically reduces easing expectations. Other Asian markets were mixed, with the Nikkei up 1%.

European markets are bouncing back from early losses, with the Dax moving into positive territory.

Dow futures point are flat.

New European headlines are mostly bad including a warning from Fitch that it may downgrade Italy two notches and a warning from Greek PM Lucas Papademos that greater cuts are needed to avoid an economic collapse. The UK saw unemployment increase to 8.4%, the highest level since 1995, in an otherwise mixed report.

Global news is also bad including a reduced global growth estimate from the World Bank and a reduced oil demand forecast from the IEA.