Premarket: Stocks fall as investors dial down trade hopes; Trump, Kim talks collapse

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Premarket: Stocks fall as investors dial down trade hopes; Trump, Kim talks collapse GlobeInvestor

Global stocks retreated for a third straight day on Thursday as investors reduced their optimism over U.S.-Sino trade talks, while an early end to a U.S.-North Korean summit in Vietnam and weak economic data out of China also hit sentiment.

That followed a retreat in Asian equities, which took a hit on a lack of progress on trade issues between China and the U.S. and data showing factory activity contracting to a three-year low in China. The Shanghai Composite Index fell 0.7 per cent. Lighthizer said the office of the United States Trade Representative was taking legal steps to implement Trump’s decision on Sunday to delay a tariff increase on more than $200 billion worth of Chinese goods that had been scheduled for Friday.

“One suspects trade headlines will continue to throw around sentiment for a while yet. The issues are complex, the trade-offs real, and opinions divided,” ANZ strategists said in a note.Global stock markets in 2019 will at best only recoup losses from the deep sell-off late last year, according to equity market analysts in Reuters polls, who reckon the risk is skewed more toward a sharp fall by mid-year.In currency markets, the dollar index against a basket of six major currencies fell 0.

 

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