“The S&P500 looked to be set to close above 3,000 until the late headline that the United States was considering a range of sanctions on Chinese officials and businesses should China go ahead with its legislation regarding Hong Kong,” analysts at the National Australia Bank said in a note.China’s plans to impose national security laws in Hong Kong have triggered the first big street unrest in the Asian financial hub for the first time since last year.
Moderating demand for risk helped the safe-haven U.S. dollar index=USD to edge up 0.03% to 99.042, reversing from losses overnight. U.S. Treasury yields retreated from levels struck overnight, with two-year yields US2YT=RR hovering at 0.170%, up from a record low of 0.105% struck on May 8, but still under 0.20%.
Gold prices rebounded from losses as some investors played it safe, with spot gold XAU=unchanged at $1,711.45 per ounce. The retreat from risk led oil prices to give up earlier gains. U.S. West Texas Intermediate crude futures CLc1 were down 0.3%.
Is this a buying moment?