US stocks fall on renewed global growth concerns

Dmitry Lukashov IFC Markets

Dollar slips as home sales decline

US stock market snapped 4-session winning streak on negative implications of slower China’s growth data to global growth outlook. The S&P 500 fell 1.4% to 2632.90. Dow Jones lost 1.2% to 24404.48. The Nasdaq dropped 1.9% to 7020.36. The dollar weakening continued as data showed existing home sales declined in December. 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, slipped 0.01% to 96.287 but is higher currently. Futures on three main US stock indices point to mixed openings.

FTSE 100 underperforms other European indexes

European stocks extended losses on Tuesday on persisting global growth worries after China reported slower growth for 2018. The EUR/USD turned lower while GBP/USD rose with both pairs higher currently. The Stoxx Europe 600 lost 0.4%. The German DAX 30 fell 0.4% to 11090.11, France’s CAC 40 slid 0.4% and UK’s FTSE 100dropped 1.0% to 6901.39.

Chinese stocks rise while Asian indices slip

Asian stock indices are mixed today after President Xi Jinping told high-level Communist Party officials to be alert over “black swan” and “gray rhino” financial events in face of an economic slowdown at a meeting after China posted its slowest annual growth since 1990 - 6.6%. Nikkei slipped 0.1% to 20593.72 while yen resumed its slide against the dollar as Japan reported weak export data. Chinese stocks are higher supported by Beijing pledge to step up fiscal spending this year to support its economy: the Shanghai Composite Index is up 0.1%, and Hong Kong’s Hang Seng index is 0.1% higher. Australia’s All Ordinaries Index extended losses 0.3% as the Australian dollar resumed climbing against the greenback.

Brent up

Brent futures prices are recovering today. Prices ended lower yesterday: March Brent fell 2% to $61.50 a barrel on Tuesday.

Want to get more free analytics? Open Demo Account now to get daily news and analytical materials.

Author

Dmitry Lukashov

IFC Markets

Dimtry Lukashov is the senior analyst of IFC Markets. He started his professional career in the financial market as a trader interested in stocks and obligations.

EUR/USD holds firm near 1.1850 amid USD weakness

EUR/USD remains strongly bid around 1.1850 in European trading on Monday. The USD/JPY slide-led broad US Dollar weakness helps the pair build on Friday's recovery ahead of the Eurozone Sentix Investor Confidence data for February.

GBP/USD hovers near 1.3600 as UK government crisis weighs on Pound Sterling

GBP/USD moves sideways after registering modest gains in the previous session, trading around 1.3610 during the European hours on Monday. The pair could come under pressure as the Pound Sterling may weaken amid a fresh government crisis in the United Kingdom.

Gold remains supported by China's buying and USD weakness as traders eye US data

Gold struggles to capitalize on its intraday move up and remains below the $5,100 mark heading into the European session amid mixed cues. Data released over the weekend showed that the People's Bank of China extended its buying spree for a 15th month in January. Moreover, dovish US Fed expectations and concerns about the central bank's independence drag the US Dollar lower for the second straight day, providing an additional boost to the non-yielding yellow metal.

Cardano steadies as whale selling caps recovery

Cardano (ADA) steadies at $0.27 at the time of writing on Monday after slipping more than 5% in the previous week. On-chain data indicate a bearish trend, with certain whales offloading ADA. However, the technical outlook suggests bearish momentum is weakening, raising the possibility of a short-term relief rebound if buying interest picks up.

Japanese PM Takaichi nabs unprecedented victory – US data eyed this week

I do not think I would be exaggerating to say that Japanese Prime Minister Sanae Takaichi’s snap general election gamble paid off over the weekend – and then some. This secured the Liberal Democratic Party (LDP) an unprecedented mandate just three months into her tenure.

Bitcoin, Ethereum and Ripple consolidate after massive sell-off

Bitcoin, Ethereum, and Ripple prices consolidated on Monday after correcting by nearly 9%, 8%, and 10% in the previous week, respectively. BTC is hovering around $70,000, while ETH and XRP are facing rejection at key levels. Traders should be cautious: despite recent stabilization, upside recovery for these top three cryptocurrencies is capped as the broader trend remains bearish.