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By THE PULSE NEWS MEXICO STAFF

The pending default of of Chinese property developer Evergrande Group roiled stock markets around the globe Monday, Sept. 20, including Mexico’s Bolsa Mexicana de Valores (BMV).

Investor concerns about the uncertainty of Evergrande’s financial future caused the BMV to close with a 1.46 percent loss at the end of the day.

Between Friday and Monday, BMV stocks fell from nearly 52,000 points to 50,557 points, their lowest level since July.

Most international analysts have stated that only a financial intervention of the Chinese government can stop the deterioration of the company and prevent a global domino effect.

Even still, it is unlikely that China will offer Evergrande a bail-out.

In the United States, the Dow Jones, the Standard & Poor’s and the Nasdaq fell 1.78, 1.70 and 2.19 percent, respectively, Monday, nullifying historical highs from previous weeks.

China’s second-largest developer, Evergrande is expected to default on its more than $300 billion debt this week.

 

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