Stocks fall, Treasuries gain after Fitch downgrades US rating

Asian stocks were also weighed by declines on Wall Street overnight. U.S. stock futures, the S&P 500 e-minis , pointed 0.2% lower on Wednesday.

"It's kind of a short-term knee-jerk reaction, so we will have to wait and watch for how this pans out." The U.S. dollar moved lower against a basket of major currencies immediately after the announcement, but was up 0.1% as of the Asian morning. "This basically tells you is the U.S. government’s spending is a problem. It's an unsustainable budget situation because the economy can't even grow its way out of this problem going forward," said Steven Ricchiuto, U.S. chief economist, Mizuho Securities. "Therefore, they're going to have to either tackle it or accept the consequences of potential further additional downgrades.

Australia Australia Latest News, Australia Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

European stocks stoked by cooler inflation reportEuropean shares jumped on Monday after a key economic report for the region showed a fall in inflation - an optimistic kick-off for a week littered with major economic data, central bank meetings and earnings updates.
Source: ReutersAfrica - 🏆 31. / 53 Read more »

Asia stocks near 16-month peak on economic optimism, Aussie eases before RBAData showed risks remain.
Source: ReutersAfrica - 🏆 31. / 53 Read more »

Stocks, oil resilient amid cautious optimism on economyStocks were mostly resilient and oil hovered near recent highs on Tuesday as investors stayed positive over global economic prospects even as data showed signs of risks.
Source: ReutersAfrica - 🏆 31. / 53 Read more »

Oil prices rise more than 1% after sharp drop in US crude stocksOil prices rose more than 1% on Wednesday, trading near their highest since April, after industry data showed a much steeper-than-expected draw last week in crude oil inventories in the U.S., the world's biggest fuel consumer.
Source: ReutersAfrica - 🏆 31. / 53 Read more »