Trade Comments continue hit Stock Indexes
Stocks indexes continue to suffer after the latest trade comments.
Trade continues to be the key factor impacting stocks. Overnight indexes continued this weeks sell-off, the Dow losing another 1.01%, the Nasdaq 0.55%. The FTSE was another index targeted by sellers dropping 1.75%.
Selling expanded after news the U.S. still plans to introduce new tariffs against China on the 15th. Another worry where comments from President Trump saying it might be better to sign phase 1 after the next US election. This creates worry and uncertainty in the market that has been rallying on hopes of a trade deal. The ASX200 had another shocker after the RBA signalled rate cuts could be coming to an end for now. This combined with the trade worries sent the ASX200 CFD to a 1.97% drop. The FTSE like the ASX has multiple influences, trade is one but the political outcome of the coming election and how that will relate to Brexit is another key factor which contributed to last night’s heavy selling.
So far today the red continues with the ASX200 down another 1.49% and the Nikkei 1.19% lower and the Hang Seng 1.27% lower. Well, we’ve had a decent run-up traders, is this just a pullback or could a derailing of the trade deal kick off something a lot bigger?
Today’s video we breakdown some of the selling we saw overnight on the indexes and we look at Gold’s return to safe-haven status.