Stocks pull back as dollar advances - 8.9.2021

Senior Analyst

Articles:1078

Todays’ Market Summary

The Dollar strengthening continues currently
Futures on three main US stock indexes are down
Gold prices are rebounding

Top daily news

Global stock markets are mostly falling today after US stocks finished lower Tuesday as investors returned from Labor Day holiday with dollar firm amid higher demand for safe havens. Microsoft slid 0.32% Tuesday amid news the tech giant has purchased in-browser video editing software startup Clipchamp, Apple stock rose 1.55% outperforming market.

Open Account Try Free Demo

Forex news

The Dollar strengthening continues currently . 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, rose 0.3% Tuesday.

Both GBP/USD and EUR/USD accelerated sliding yesterday after Germany’s ZEW survey of economic sentiment for September showed investor morale fell more than expected in August. Both pairs are lower currently. AUD/USD accelerated retreating Tuesday while USD/JPY continued climbing with Australian dollar lower against the Greenback currently and yen higher.

Stock Market news

Futures on three main US stock indexes are down currently ahead of Federal Open Market Committee member William’s speech at a webinar hosted by St. Lawrence University at 19:10 CET today. The yield on benchmark 10-year US notes hover around 1.36% currently compared to a US close of 1.371% on Tuesday. Stock indexes in US ended mixed Tuesday with Nasdaq ending at record high: the three main US stock indexes posted returns ranging from -0.76% to +0.07%.

European stock indexes are sharply lower currently after a down session on Tuesday with chemicals companies shares leading losses. Investors are watching a flurry of telecom deals led by Deutsche Telekom which struck a share-swap deal with SoftBank Group to increase its stake in US unit T-Mobile. Asian indexes are mostly lower today with Nikkei bucking the general trend after the Japanese government revised upward the second quarter gross domestic product growth figures, beating expectations.

Commodity Market news

Brent is retracing higher today as US Gulf of Mexico production restart after the hurricane Ida is proceeding slower than expected. Oil prices ended lower on Tuesday pressured by Saudi Arabia’s move on Sunday to cut the price for all crude grades sold to Asia by at least US$1 a barrel. The US oil benchmark West Texas Intermediate (WTI) dropped 1.4% Tuesday but is higher currently. Brent crude lost 0.7% to $71.69 a barrel.

Gold Market News

Gold prices are rebounding today. December gold fell 1.9% to $1,798.50 an ounce Tuesday after posting a fourth consecutive weekly gain last Friday. US trading was closed Monday for the Labor Day holiday.