Equities down after Wall Street selloff - 4.9.2024

The Dollar weakening has resumed 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, ended 0.1% higher on Tuesday.

Both EUR/USD and GBP/USD reversed their advancing yesterday while the British Retail Consortium reported retail sales growth over year in August was below last August’s growth and below the 12-month average. Both Pound and euro are higher against the dollar currently. Both USD/JPY and AUD/USD reversed their advancing on Tuesday with the yen higher against the Greenback currently and Australian dollar lower still.

Futures on three main US stock indexes are down currently with the yield on benchmark 10-year US notes down at 3.825%. Stock indexes ended solidly lower on Tuesday as three main stock benchmarks recorded daily losses in a range from -3.3% to -1.5% led by tech shares after Institute for Supply Management’s manufacturing PMI data indicated manufacturing sector contracted for fifth straight month in August.

European stock indexes are lower currently after closing down on Tuesday with energy and basic resources shares leading losses. Asian indexes futures are retreating today with Japan’s Nikkei leading losses weighed by heavy declines in technology shares.

Brent is extending losses currently. Prices ended about 5% lower yesterday amid reports rival political factions in Libya were close to resolving a dispute that has halted Libyan crude production and exports. The US oil benchmark West Texas Intermediate (WTI) fell 4.4% and is lower currently. Brent dropped 4.9% to $73.75 a barrel on Tuesday.