Asia Morning: U.S. Stocks Mixed, Dow Eases 1%

Meanwhile, the Nasdaq 100 marked another record close at 9967 (+65 points or 0.7%)...

Trading floor 2

On Tuesday, U.S. stocks closed mixed. The Nasdaq 100 marked another record close at 9967 (+65 points or 0.7%), while the Dow Jones Industrial Average retreated 300 points (-1.1%) to 27272, and the S&P 500 fell 25 points (-0.8%) to 3207. 

Source: GAIN Capital, TradingView

Technology Hardware & Equipment (+1.93%), Retailing (+1.14%) and Media (+0.48%) sectors were the best performers, while Automobiles & Components (-5.26%), Energy (-3.59%) and Capital Goods (-2.6%) sectors lost the most.

Apple (AAPL +3.16%) and (AMZN +3.04%) closed at record highs.  

On the technical side, about 68.8% (60.6% in the prior session) of stocks in the S&P 500 Index were trading above their 200-day moving average, and 94.7% (92.7% in the prior session) were above their 20-day moving average.

Regarding U.S. economic data front, the National Federation of Independent Business's Small Business Optimism Index rose to 94.4 in May (92.5 expected), and Wholesale Inventories (final reading) grew 0.3% on month in April (+0.4% expected).

Later today, U.S. Consumer Price Index (flat in May expected) will be reported. The Federal Reserve is expected to keep its key interest rates unchanged.

European stocks got deeper in negative territory, with the Stoxx Europe 600 Index losing 1.2%. Both Germany's DAX and France's CAC fell 1.6%, and the U.K.'s FTSE 100 shed 2.1%.

U.S. Treasury prices rebounded further, as the benchmark 10-year Treasury yield declined to 0.829% from 0.883% Monday.

Spot gold price was up for a second day as it added $16.00 (+1.0%) to $1,714 an ounce.

Oil prices pared early losses to settle higher. The U.S. Energy Information Administration raised its 2020 oil price forecasts while lowering its projection for U.S. oil production. U.S. WTI crude oil futures (July) climbed 2.0% to $38.94 a barrel.

On the forex front, the ICE U.S. Dollar Index slipped 0.2% on day to 96.39.

EUR/USD climbed 0.4% to 1.1335. Official data showed that the eurozone's first quarter GDP posted -3.1% on year (-3.2% on year expected). On the other hand, German exports declined 24.0% on month in April (-15.6% expected) and imports dropped 16.5% (-16.0% expected).

GBP/USD fell 0.1% to 1.2717, snapping an eight-day rally.

USD/JPY slid 0.6% to 107.78. This morning, government data showed that Japan's core machine orders dropped 12.0% on month in April (-7.0% expected).

Build your confidence risk free

More from Indices

Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.