U.S. markets extend losses

[tacobell fan]

U.S. stocks extended declines from record highs amid a torrent of corporate results, while the euro swung between gains and losses and European bonds reversed gains after Mario Draghi didn’t give markets more of a dovish signal.

The S&P 500 dropped from an all-time high and the Dow Jones Industrial Average slumped for a second day as investors digested a flood of earnings. 3M initially advanced after beating estimates before turning lower, while Tesla plunged on weak results. Ford slumped as the gloom in the global auto industry spread. PayPal and Dow dropped after results. Amazon and Alphabet highlight after-hours reports.

 

 

“Draghi’s tone did more to raise recession fears than it did to ease them,” said Jim Paulsen, Leuthold Group Inc.’s chief investment strategist. “That’s what the market is reacting to because there is the fear out there that even if we start easing, it might be too late and it brings up that same fear here in the United States.”

The euro initially plunged versus the dollar after ECB President Draghi left rates unchanged but said a “significant degree” of monetary stimulus is needed and the outlook is “getting worse and worse.” It then spiked before trading little changed.

“For the markets, it continues to be this tug-of-war between continued policy stimulus and whether that’s going to be enough to head off the slowing trend in global growth,” said Ed Campbell, portfolio manager and managing director at QMA.

Earnings have been broadly positive for stocks, but worries still linger over trade and a slowing global economy. Oil advanced as declining U.S. crude stockpiles and threats to Persian Gulf exports mingled with concerns that slower economic growth will stifle demand.

Most major indexes in Asia advanced, though Korean stocks declined for a second day. Turkey’s lira fluctuated after the central bank cut its key rate by the most on record.

Australia’s dollar hit its low of the session and benchmark bond yields touched a record low after Reserve Bank Governor Philip Lowe said he was prepared to cut interest rates again if needed.

Here are some key events coming up:

• Earnings season rolls on with companies including Amazon.com, Alphabet and McDonald’s still to report this week.
• U.S. gross domestic product figures due Friday may show business investment posted the first decline in three years.

These are the main moves in markets:

Stocks

• The S&P 500 Index fell 0.6% to 3,000.98 as of 12:56 p.m. New York time.
• The Dow Jones Industrial Average sank 0.4% to 27,148.31, the lowest in two weeks on the biggest dip in a month.
• The Nasdaq Composite Index fell 0.7% to 8,264.75.
• The Stoxx Europe 600 Index sank 0.6% to 389.52, the first retreat in a week and the biggest dip in almost three weeks.
• The U.K.’s FTSE 100 Index dipped 0.2% to 7,489.05, the lowest in almost four weeks.
• Japan’s Nikkei 225 Stock Average gained 0.2% to 21,756.55, the highest in more than 11 weeks.

Currencies

• The Bloomberg Dollar Spot Index rose 0.1% to 1,200.24, the highest in more than five weeks.
• The euro gained 0.1% to $1.115, the first advance in a week.
• The Japanese yen sank 0.5% to 108.68 per dollar, the weakest in more than two weeks on the largest decrease in almost three weeks.
• The British pound decreased 0.2% to $1.2455.
• The Swiss franc sank 0.6% to $0.9904, the weakest in more than two weeks on the largest decrease in almost three weeks.
• The onshore yuan was little changed at 6.872 per dollar.

Bonds

• The yield on 10-year Treasuries rose four basis points to 2.08%, the highest in more than a week on the largest rise in two weeks.
• The yield on two-year Treasuries climbed five basis points to 1.86%, the highest in more than two weeks.
• Germany’s 10-year yield rose two basis points to -0.36%, the first advance in more than a week and the largest rise in two weeks.
• Britain’s 10-year yield gained three basis points to 0.71%, the first advance in a week and the biggest rise in two weeks.

Commodities

• Gold dipped 0.6% to $1,417.90 an ounce.
• West Texas Intermediate crude gained 0.6% to $56.22 a barrel.

[Idassamed]

Buy the dip annadu thaatha

[LazyRohit]

matter in 2lines

[tacobell fan]

9 minutes ago, LazyRohit said:

matter in 2lines

kastam @kaka