US equities retreat deepened

Dollar weakened on soft housing and manufacturing data

US stock market retreat deepened on Thursday as hopes for near term resolution of US-China tariff dispute dimmed. The S&P 500 fell 1.2% to 2822.24. The Dow Jones industrial average lost 1.1% to 25490.47. Nasdaq composite index dropped 1.6% to 7628.28. The dollar weakened on Markit reports its flash readings of U.S. manufacturing and services indexes declined in May, while new home sales declined 6.9% in April. 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 0.3% to 97.846 and is lower currently. Futures on US stock indexes point to lower openings today.

CAC 40 underperforms European indexes

European stocks pullback turned into tumble on Thursday. EUR/USD turned higher while GBP/USD ended flat with both pairs rising currently. The Stoxx Europe 600 index fell 1.4% led by auto maker shares. Germany’s DAX 30 dropped 1.78% to 11952.41. France’s CAC 40 slumped 1.8% and UK’s FTSE 100 lost 1.4% to 7231.34 as Prime Minister May unveiled a “new” Brexit deal widely expected to be rejected by the U.K.’s Parliament.

FR40_O_24May2019

Hang Seng leads Asian indexes gains

Asian stock indices are mixed after a sell off on Wall Street overnight. Nikkei slipped 0.2% to 21117.22 as yen continued climbing against the dollar. Chinese shares are higher after President Trump said Thursday the US could ease up on its ban against Huawei as “some part” of a wider trade deal with China: the Shanghai Composite Index is up 0.02% and Hong Kong’s Hang Seng Index is 0.5% higher. Australia’s All Ordinaries Index extended losses 0.6% with Australian dollar little changed against the greenback.

Brent extending losses

Brent futures prices are edging lower today. Prices sank yesterday: July Brent crude dropped 4.6% to $67.76 a barrel on Thursday.

You know: I’d have lot of respect for you if you posted this stuff the day BEFORE it happened.

Don’t mind me: just a crass attempt at humor.

Thanks for checking our MOs, some forecasting stuff is included in our Technical Analysis section.

Well at least you know one person may read your analysis from time to time, Again: crass attempt at humor.

On a serious note:

How about you provide me with some idea as to why Hong Kong’s Hang Seng is not tracking the rest of the indices. I would say from a fundamental analysis perspective not from a technical analysis perspective.

From fundamental perspective differences with other indexes should be result of what markets the Hang Seng constituents are deriving their incomes from compared with other indices…

Thanks for that invaluable insight Captain Obvious.

You are welcome.