Italian politics, trade, oil in addition to currencies in focus

U.S. stocks sold off on Tuesday amid a political crisis in Italy in addition to as investors digested trade negotiations between the U.S. in addition to China.

The Dow Jones industrial average slid 1.58 percent, or 391.64 points, to 24,361.45, the S&P 500 lost 1.16 percent to close at 2,689.86 in addition to the Nasdaq composite declined 0.5 percent to end at 7,396.59.

The losses seen on Tuesday marked the worst daily performance for both the Dow in addition to S&P 500 since April 24. Both stock indexes were also down for the third consecutive session.

which followed weakness in European markets inside last session, with the pan-European Stoxx 0 ending down 1.37 percent. In Italy, the FTSE MIB tumbled 2.65 percent amid ongoing political turmoil which is actually likely to lead to a fresh vote inside months ahead.

Italy has been without a government since an inconclusive vote in early March, with anti-establishment political groups abandoning efforts to form a coalition over the weekend amid a dispute with the country’s head of state.

The euro traded at $1.1543 at 6:50 a.m. HK/SIN, which was below the $1.16 level seen inside previous session. The dollar index, which tracks the dollar against several major currencies, stood at 94.833.

The 10-year Italian bond yield cracked above the 3.38 percent level early inside last session as investors sold Italian bonds, while the 10-year U.S. Treasury yield fell, slipping below the 2.8 percent level.

After what seemed like a cooling in tensions between the U.S. in addition to China over bilateral trade issues, the White House on Tuesday said the idea was moving ahead with plans to subject around $50 billion in Chinese imports to tariffs.

On the commodities front, U.S. West Texas Intermediate crude futures settled 1.7 percent, or $1.15, lower at $66.73 per barrel after news last week which OPEC producers had discussed raising output. Brent crude futures added 9 cents to settle at $75.39.

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