Japanese shares fall after market holiday

Japanese markets fell this morning after a break from trading for a three-day bank holiday, with investors remaining cautious before US jobs data released later.

Japan’s benchmark Nikkei 225 index was down 0.7 percent at midday, after a 0.4 percent jump at the start.

Most Asian markets followed this trend, with the Shanghai Composite closing down 2.82 percent, and the Hang Seng down 1.79 percent.

Service sector slows British economy to worrying levels

The British economy slowed in April on worries ahead of the EU referendum to the point of possible rate cuts, according to a new survey of the services industry.

Economic growth may drop to just 0.1 percent in the run-up to the vote – its weakest rate since 2012.

Markit chief economist Chris Williamson said yesterday’s fall in the service industry, the UK’s traditionally dominant sector, may lead to the Bank of Englang using monetary policy to “revive growth” – as it has done at these levels in the past.

Alibaba profits soar by a third

The world’s biggest e-commerce company, Alibaba, saw profits trip in the year to March 31st.

Profits saw a rise of 193 percent, with sales rising by 101 billion yuan. Chief executive Daniel Zhang said the company had “finished the fiscal year on a very strong note.”

The company has recently been struggling in the light of newer competitors such as Baidu and JD.com, with shares dropping by a third. However, these strong results may be a sign that the company is getting back on track, with shares on the New York market rising nearly 4 percent.

06/05/2016