Futures indicate higher opening of US market after Mondays plunge
|Dollar weakening halts
US stock market suffered their biggest one-day percentage declines since 2008 on Monday in a session that started with plunge in oil and Asian indexes. Stocks closed off lows as President Trump proposed cuts to payroll taxes to alleviate coronavirus impact. The S&P 500 fell 7.6% to 2746.56. Dow Jones industrial sank 7.8% to 23851.02. The Nasdaq slumped 7.3% to 7950.68. The dollar weakening continued at faster pace yesterday: 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, fell 1.0% to 95.09 but is higher currently. Futures on stock indexes point to higher openings today.
European stocks end in bear territory
European stocks ended in bear territory on Monday. The EUR/USD accelerated its climbing with GBP/USD gaining fifth session in a row continuing yesterday. Both pairs are lower currently. The Stoxx Europe 600 index lost 7% led by energy shares, ending down more than 20% from its recent high . The DAX 30 slumped 7.9% to 10625.02. France’s CAC 40 dropped 8.4% and UK’s FTSE 100 sank 7.7% to 5965.77.
Asian indexes recover led by Australia’s All Ordinaries Index
Asian stock indices are mostly higher today following Monday’s plunge. Nikkei recovered 0.9% to 19867.12 as yen’s climbing against the dollar reversed. Markets in China are rising: the Shanghai Composite Index is up 1.7 % and Hong Kong’s Hang Seng Index is 2.0% higher. Australia’s All Ordinaries Index rebounded 3.1% as Australian dollar continued its slide against the greenback.
Brent rebounds
Brent futures prices are rebounding today after Monday’s sharp drop. Prices ended sharply lower yesterday as traders bet Saudi Arabia entered a war with Russia for market share over the weekend as it cut its export prices for crude. May Brent crude closed 24.1% lower at $34.36 a barrel on Monday.
Gold slips as Dollar weakening reverses
Gold prices are edging lower today. April gold rose 0.2% to 1675.70 an ounce on Monday.
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