Dollar weakening accelerated despite yuan decline
US stock indexes losses widened on Monday as China’s yuan fell to a more-than-10-year low versus the dollar. The S&P 500 fell 3% to 2844.74. Dow Jones industrial lost 2.9% to 25717.74. The Nasdaq composite dropped 3.5% to 7726.04. The pace of dollar weakening more than doubled: 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 0.7% to 97.40 but is higher currently. Stock index futures point to higher market openings today.
DAX 30 loss smallest among European indexes
European stocks extended losses on Monday. The EUR/USD climb accelerated yesterday while GBP/USD resumed its slide, both have reversed currently. The Stoxx Europe 600 index ended 2.3% lower. The DAX 30 lost 1.8% to 12658.51. France’s CAC 40 slid 2.2% and UK’s FTSE 100 dropped 2.5% to 7223.85.
Hang Seng still loss leader among Asian indexes
Asian stock indices are tracking today Wall Street losses overnight. Nikkei closed 0.7% lower at 20585.31 despite the yen slide against the dollar. Markets in China are falling as yuan steadied and Beijing confirmed it was suspending purchases of US agricultural products: the Shanghai Composite Index is down 1.8% and Hong Kong’s Hang Seng Index is 1.3% lower. Australia’s All Ordinaries Index deepened previous session losses 2.4% as Australian dollar turned higher against the greenback.
Brent futures prices are edging higher today. Prices fell yesterday: October Brent crude closed at $59.81 a barrel on Monday.