- The S&P 500 lost 2.35 points to 2,798.36 with technology and financials dragging the index lower.
- The Dow Jones Industrial Average actually added 14.51 points to 25,516.83.
- The Nasdaq Composite Index COMP, -0.07% edged down 5.13 points to 7,637.54.
A mixed day on Wall Street saw two of the three benchmarks closing in the red, muted on the Special Counsel Robert Mueller’s probe into Russian meddling in the 2016 presidential election coming to a conclusion, but instead investors fretted over a batch of pood data and a bearish divergence in US yields, signalling that a recession could be on the cards. However, the Dow managed to end in positive territory as shares of Boeing Co. rallied after recent losses.
US yields whereby the 10-year yield is now below the 3-month bill rate
On Friday, a set of weak March purchasing-managers-index readings for Germany and the. U.S. was posting to a slow down with the U.S. data showing growth in the manufacturing sector slowed to a 21-month low in March, compounding those fears. Meanwhile, the bearish divergence in US yields whereby the 10-year yield is now below the 3-month bill rate, as well as the Fed funds effective rate of 2.41% - is pressuring global equity prices.
DJIA levels
The DJIA has been unable to sustain territory above the 26000 level having scored a high of 26109 last Tuesday and bears continue to eye the 23.6% Fibo retracement of the late Dec swing lows to late Feb swing highs at the low end of the twenty-five hundreds. This area guards a break all the way down to the 38.2% Fibo of the same range around 24400.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD regains traction, recovers above 1.0700
EUR/USD regained its traction and turned positive on the day above 1.0700 in the American session. The US Dollar struggles to preserve its strength after the data from the US showed that the economy grew at a softer pace than expected in Q1.
GBP/USD returns to 1.2500 area in volatile session
GBP/USD reversed its direction and recovered to 1.2500 after falling to the 1.2450 area earlier in the day. Although markets remain risk-averse, the US Dollar struggles to find demand following the disappointing GDP data.
Gold holds around $2,330 after dismal US data
Gold fell below $2,320 in the early American session as US yields shot higher after the data showed a significant increase in the US GDP price deflator in Q1. With safe-haven flows dominating the markets, however, XAU/USD reversed its direction and rose above $2,340.
XRP extends its decline, crypto experts comment on Ripple stablecoin and benefits for XRP Ledger
Ripple extends decline to $0.52 on Thursday, wipes out weekly gains. Crypto expert asks Ripple CTO how the stablecoin will benefit the XRP Ledger and native token XRP.
After the US close, it’s the Tokyo CPI
After the US close, it’s the Tokyo CPI, a reliable indicator of the national number and then the BoJ policy announcement. Tokyo CPI ex food and energy in Japan was a rise to 2.90% in March from 2.50%.