SP 500 turns negative for 2018

Global economic growth uncertainties with unresolved US-China trade dispute and weaker than expected US corporate reports overshadowed largely positive US data last week. 1 The SP 500 slumped 3.9% last week, dropping into negative territory for the year and the ICE US dollar extended gains 0.7%.

All major global stock indices ended solidly lower. Nikkei logged the steepest decline: it lost 6%. All major currencies weakened against the dollar with the British Pound still leading the losses: it dropped 1.8%.

This week the Bank of Japan and Bank of England meet on Wednesday and Thursday respectively. No changes in monetary policies are expected. And US October jobs report on Friday is forecast to show hiring improved from previous month as payrolls rose about 190,000, and the unemployment rate held at a 48-year low of 3.7 percent.