SP500 logs back-to-back loss trade uncertainty lingers


Dollar strengthened despite slowing inflation

US stock market extended losses on Wednesday as President Trump said he didn’t have a deadline for imposing additional tariffs on China. The S&P 500 slid 0.2% to 2879.84. The Dow Jones industrial average slipped 0.2% to 26004.83. Nasdaq composite index lost 0.4% to 7792.72. The dollar strengthening resumed despite inflation report the cost of living over the past 12 months slowed to 1.8% from 2%. The live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, added 0.3% to 96.97 but is lower currently. Futures on US stock indices point to mixed openings today.

CAC 40 underperforms European indexes

European stocks pulled back on Wednesday as President Trump reiterated he would either do a great deal with China or no deal at all. Both the EUR/USD and GBP/USD turned lower with euro higher currently while Pound sliding further. The Stoxx Europe 600 slid 0.3% led by energy stocks. Germany’s DAX 30 slipped 0.3% to 12115.68. France’s CAC 40 fell 0.6% and UK’s FTSE 100 edged down 0.4% to 7367.62 despite Labour party announing of plans to introduce parliamentary legislation to block the country exiting the European Union without a deal in place.

Nikkei loss leader among Asian indexes

Asian stock indices are mixed today. Nikkei lost 0.5% to 21032.00 as yen accelerated its advance against the dollar. Chinese stocks are mixed : the Shanghai Composite Index is up 0.05% while Hong Kong’s Hang Seng Index is 0.2% lower after protesters’ clash throughout the previous day and night against a potential new extradition law with China. Australia’s All Ordinaries Index slipped another 0.02% despite Australian dollar continuing slide against the greenback on unexpectedly higher unemployment rate in May.

HK50 is testing MA(200)  06/13/2019 Market Overview IFC Markets chart

Brent fell after US crude inventories jump

Brent futures prices are rising today after reports of a tanker on fire in the Gulf of Oman. Prices fell yesterday. The Energy Information Administration reported Wednesday US crude inventories jumped by 2.2 million barrels last week while gasoline inventories climbed by 0.8 million. August Brent crude lost 3.7% to $59.97 a barrel on Wednesday.

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