Stocks back in the red as trade worries continue
The USD is the strongest while the NZD resumes its fall and is the weakest as North American traders enter for the day. Nikkei fell -2.2%. European stocks are lower. US stocks are lower in pre-market trading. US yields are lower. Last week the Nasdaq had its worst week in 3 weeks. The Dow had its worst 3 week losing streak in 2+years, and worst start to the calendar year since 2010. All that is helping to lead a flight into the USD and JPY. The risk off currencies like the NZD and AUD are being shunned.
The ranges for the AUDUSD and the NZDUSD are around the 22-day average. The other pairs vs. the US have much more modest ranges. The JPY pairs are trading near low levels on the stock declines.
In other markets:
- Spot gold is down -$3.14 or -0.25% at $1250
- WTI crude oil futures are trading down $.38 or -0.51% at $73.78
In premarket trading in the US, futures are implying lower openings:
- S&P is down -13 points
- Nasdaq is down -47 points
- Dow is down -140 points
US yields are lower on a flight to safety bid:
- 2 year 2.512 percent, -1.6 basis points
- 5 year 2.707%, -3.0 basis points
- 10 year 2.29%, -3.1 basis points
- 30 year 2.966%, -2.2 basis points
Happy Canada Day (Monday).
Mexico has a new President, Andres Manuel Lopez Obrador. Pres. Trump tweeted his congratulations:
He also commented over the weekend that he is ''not happy'' with the revised NAFTA deal and that he doesn't want to sign any new agreement until after the midterm elections in November.
The USDMXN is higher (MXN lower). The CAD is also lower vs. the USD.
World Cup today:
