U.S. Futures Decline With Stocks; Treasuries Rise: Markets Wrap

 

 

 

Applications for unemployment benefits in the U.S. fell less than forecast last week, showing only gradual improvement from the worst of the pandemic-related layoffs even as states re-open more of their economies

 

Bankrupt rental-car company Hertz Global Holdings Inc. HTZ 2.56% suspended its sale of up to $500 million in shares after the Securities and Exchange Commission said it had questions about the deal.

These are some of the main moves in markets:

Stocks

• Futures on the S&P 500 Index fell 0.72% as of 9:15 a.m. New York time.
• The Stoxx Europe 600 Index fell 1.1%.
• The MSCI Asia Pacific Index was little changed.
• The MSCI Emerging Market Index was little changed.

Currencies

• The Bloomberg Dollar Spot Index advanced 0.2%.
• The euro declined 0.2% to $1.1225.
• The British pound declined 0.8% to $1.2454.
• The onshore yuan weakened 0.1% to 7.087 per dollar.
• The Japanese yen strengthened 0.1% to 106.90 per dollar.

Bonds

• The yield on 10-year Treasuries declined four basis points to 0.70%.
• The yield on two-year Treasuries decreased one basis point to 0.19%.
• Germany’s 10-year yield fell two basis points to -0.42%.
• Britain’s 10-year yield jumped two basis points to 0.208%.
• Japan’s 10-year yield decreased less than one basis point to 0.019%.

Commodities

• West Texas Intermediate crude increased 0.2% to $38.03 a barrel.
• Brent crude gained 0.6% to $40.95 a barrel.
• Gold weakened 0.1% to $1,725.04 an ounce.

U.S. equity futures dropped with European stocks on Thursday as investors weighed the latest reports about fresh outbreaks of the coronavirus in China and America. Treasuries extended their advance.

S&P 500 and Nasdaq 100 contracts held their declines after weekly jobless claims stayed above one million. They had gained only briefly earlier after a top virus expert in China said that new cases in Beijing were curbed. The Stoxx Europe 600 extended its decline, with German payments firm Wirecard AG slumping as much as 67% after it delayed publication of annual financial results for the fourth time. The pound held onto losses after the Bank of England expanded its quantitative easing program.

The picture for global markets remains complex as investors mull reports on China battling its worst outbreak since Wuhan, Texas showing an 11% surge in hospitalizations and Israel pausing further reopening of the economy after a rise in cases. That’s competing with some positive news on the economic front, as well as a flood of promised stimulus measures. Politics is back in the picture too, after newspapers published summaries of a widely anticipated book critical of President Donald Trump.

Elsewhere, crude oil prices erased earlier losses.

— With assistance by Adam Haigh