Broader Market Feels Pressure From US-China Trade Dispute

May 09, 2019 10:30 PM BST | By Team Kalkine Media
 Broader Market Feels Pressure From US-China Trade Dispute

Global Markets: Benchmark indices in the United States were trading lower in the Thursday’s market session, as the S&P 500 Index fall off 7.58 points or 0.26 per cent at 2,871.84, Dow Jones Industrial Average Index was quoting at 25,844.50 and declined by 122.83 points or 0.47 per cent and the technology benchmark index Nasdaq Composite Index was trading at 7,918.20 and declined by 25.21 points or 0.32 per cent against the previous day close, at the time of writing.

Global News: In an attempt to salvage a deal that could end the trade war between the world’s two biggest economies, China appealed to the United States to meet it halfway to find a solution to the dispute. Accusing China of backtracking on earlier commitments, President Donald Trump announced his intention to raise tariffs from Friday unless a deal is signed. The threat of tariffs caused equity indexes to tumble for a fourth day in a row, while the safe-haven demand for Treasuries led to a fall in U.S. Treasury yields.

European Markets: The London’s broader equity benchmark index FTSE 100 traded at 63.59 points or 0.88% lower at 7,207.41, the FTSE 250 index snapped 246.33 points or 1.26% lower at 19,285.58, and the FTSE All-Share Index ended 36.84 points or 0.92% lower at 3,955.09 respectively. European benchmark index STOXX 600 ended 6.31 points or 1.65% lower at 375.92 respectively.

European News: Amid doubts that Brexit talks between the two main parties would go nowhere, the British pound declined to its weakest this month on Thursday. The pound is also weighed down by mounting pressure on the PM to announce resignation date. The monthly index of staff demand declined to 53.6 from 55.5 in March, the lowest rate since August 2012, indicating the labour market might be losing its shine.

London Stock Exchange

Top Risers Stocks: SIRIUS MINERALS PLC (SXX), FINDEL PLC (FDL), and LINDSELL TRAIN INVESTMENT TRUST PLC (LTI) rose by 9.56 per cent, 6.53 per cent and 6.01 per cent respectively.

Top Fallers Stocks: CENTRICA PLC (CNA), METRO BANK PLC (MTRO) and SPORTECH PLC (SPO) declined by 10.29 per cent, 8.31 per cent and 7.25 per cent respectively.

FTSE 100 Index

Top Performers Stocks: BARRATT DEVELOPMENTS PLC (BDEV), RSA INSURANCE GROUP PLC (RSA) and IMPERIAL BRANDS PLC (IMB) increased by 2.39 per cent, 2.25 per cent and 2.16 per cent respectively.

Top Laggards Stocks: CENTRICA PLC (CNA), INFORMA PLC (INF) and ADMIRAL GROUP PLC (ADM) declined by 10.29 per cent, 4.58 per cent and 4.17 per cent respectively.

Top Volume Leaders: LLOYDS BANKING GROUP PLC (LLOY), VODAFONE GROUP PLC (VOD) and BARCLAYS PLC (BARC).

Top Performer Sector: Consumer Non-Cyclicals (+0.17%).

Top 3 Fallers Sectors: Telecommunications Services (-2.13%), Basic Materials (-1.62%) and Industrials (-1.37%).

Foreign Exchange and Fixed Income

FX Rates*: GBP/USD and EUR/GBP were exchanging at 1.3028 and 0.8615 respectively.

10-Year Bond Yields*: US 10Y Treasury and UK 10Y Bond yields were trading at 2.460% and 1.135% respectively.

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*At the time of writing


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