Stocks and Crude Oil Prices Open Lower as Markets Crash | Company

0

NEW YORK (AP) — Stocks are opening lower across the board on Wall Street and crude oil prices are falling again. Treasury yields also fell as traders continued to worry about the state of the economy. European markets were also down. The S&P 500 fell 1.7% early Tuesday, and the tech-heavy Nasdaq was also down 1.5%. The Dow Jones Industrial Average lost 1.7%. Energy companies were doing particularly poorly, as were technology companies. Tesla fell after reporting its lowest quarterly sales figures since last fall. The yield on the 10-year Treasury note, which helps set mortgage rates, fell to 2.81%.

THIS IS A BREAKING NEWS UPDATE. AP’s previous story follows below.

NEW YORK (AP) — Wall Street futures fell after Independence Day on Tuesday following declines in Europe and a bullish session in Asia.

Dow Jones Industrials futures fell 0.6%, as did S&P 500 futures.

The war in Ukraine and its impact on energy supplies is clouding the global economic outlook at a time when central banks are raising interest rates to curb inflation.

The Paris-based agency forecasts global demand for natural gas to grow by 140 billion cubic meters between 2021 and 2025, less than half of the 370 billion cubic meter increase seen in the previous five-year period. year. He said the revised forecast is mainly due to expectations of slowing economic growth rather than buyers switching from gas to coal, oil or renewables.

A recent report by Fitch Ratings said a technical recession in the euro-using region was increasingly likely due to disruptions in Russian gas supplies to Europe.

In Europe at midday, the German DAX fell 1.2%, as did the CAC 40 in Paris. Britain’s FTSE 100 fell 1.1%.

German Chancellor Olaf Scholz convened key employer and union representatives in his Berlin office on Monday to explore ways to deal with the impact of rising prices while preventing an inflationary spiral in Europe’s biggest economy. Europe.

Benchmarks in Asia were mostly higher on hopes of easing trade tensions between Beijing and Washington.

Japan’s benchmark Nikkei 225 added 1.0% to end at 26,423.47. The South Korean Kospi jumped 1.8% to 2,341.78. In Hong Kong, the Hang Seng gained 0.1% to 21,856.85. The Shanghai Composite was little changed, losing less than 0.1% to 3,404.03.

China’s Commerce Ministry said on Tuesday that Vice Premier Liu He had spoken with Treasury Secretary Janet Yellen about coordinating economic policy between the two largest economies and maintaining the stability of the chains. supply.

In a statement, he also said that the Chinese side “expressed concern over issues such as the removal of additional tariffs and sanctions imposed by the United States on China and the fair treatment of Chinese enterprises.” Both sides agreed to continue their talks, he said.

Australia’s S&P/ASX 200 rose 0.3% to 6,629.30 after the central bank raised its benchmark interest rate for the third time in three consecutive months, pushing the cash rate from 0, 85% to 1.35%. The Reserve Bank of Australia’s half-percentage-point hike on Tuesday was the same magnitude as June’s.

When the bank raised the rate by a quarter of a percentage point at its monthly board meeting in May, it was the first rate hike in more than 11 years.

Global investors are worried about soaring inflation and the possibility that higher interest rates could trigger a recession in some economies. Minutes from the Federal Reserve’s latest policy meeting are due out on Wednesday and could provide some guidance on future policy.

In energy trading, benchmark U.S. crude fell 49 cents to $107.94 a barrel. It gained $2.67 on Friday to $108.43 a barrel. Trading was closed on Monday. Brent, the international standard, fell $1.84 to $111.66 a barrel.

In currency trading, the US dollar rose slightly to 136.09 Japanese yen from 135.69 yen. The euro traded at $1.0291, down from $1.0423.

Copyright 2022 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission.

Share.

About Author

Comments are closed.