STOCK markets in Europe recovered some ground after a shaky start yesterday as the much feared free fall on Wall Street failed to materialise.
By the time the Irish market closed, Wall Street had recovered from an opening 70 point fall by the Dow and had moved into positive territory although few in the Irish market were greatly reassured by the early recovery in New York.
At the close of trading in New York, the Dow was on 5,354.69, a rise of (+8.14) on the day.
In Dublin, the market fell by 1.1 per cent with most of the leading shares losing ground. The Dublin market did not enjoy the type of rebound that happened in London, but at least there was better bidding for stock at the close of trading.
In London, shares were hit by a combination of fears about Wall Street and stronger than expected retail sales figures for June. These figures were seen in the market a ruling out another early cut in British interest rates.
The FTSE fell initially by most 65 points before a calmer mood took over as New York traded upwards after its opening slump. Bargain hunters came back into the market and by the close the FTSE was down just under 40 points on 3668.8.
European stocks retreated as soon as the markets opened following Tuesday's late fall in New York and Tokyo's worst one day fall this year.
Tokyo investors slashed 2.52 per cent off the value of the 225 share Nikkei average.
Paris was of the worst of Europe's major bourses. But French shares cut losses that extended more than 2 per cent at one point as the Dow recovered from its lows.
Frankfurt started in better shape than other European markets, but the 30 share DAX index still closed 1.1 per cent down at 2,447.80.
But the nervousness one the markets will remain and will certainly not be eased until the historical parallels are eliminated.
Both the 1929 and 1987 crashes took place 55 days after the New York market reached its all time high - or 39 working days in the case of the 1987 crash and 42 working days in the case of 1929.
Day 39 from the recent New York all time high was last Monday, day 42 is today. Superstitious it may be, but markets move on less.
