Dow drops more than 100 points as bond-market recession indicator, trade worries worsen

  • 📰 CNBC
  • ⏱ Reading Time:
  • 37 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 72%

United States News News

United States United States Latest News,United States United States Headlines

The Dow dropped more than 100 points as trade uncertainty continued and a recession indicator from the bond market worsened. As the yield curve remained inverted, both the S&P 500 and the NASDAQ also closed down.

The spread between the 10-year Treasury yield and the 2-year rate fell to negative 5 basis points,. This is called a yield-curve inversion. Experts fear it because in the past it has preceded recessionary periods. The 3-month Treasury bill rate also traded higher than the 30-year bond yield.

Sentiment was also dampened after Hu Xijin, editor-in-chief of the Global Times in China, tweeted that China is "putting so much emphasis on trade talks," adding that "it's more and more difficult for the US to press China to make concessions" as China's economy becomes increasingly driven by its domestic growth.

"Given the low volume and breadth on yesterday's bounce, along with China's non-confirmation of any Call, it makes sense to sell into yesterday's move until we see a break of this range," Newton said in a note. "Given a lack of developments on the ongoing China trade dispute, Monday's gains aren't something to be taken too seriously."

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Now do today

RockyMountViews Courtesy Mr Trump, stable genius of economics and finance?

There is no more liquidity you gave all to the Chinese elders thanks to your GOP and DNC leadership and then they cut the line credit off FDICgov to the world ask your RoyalFamily so all you have is the cash on you. No more food stamps NYCHRA welfare SocialSecurity

RockyMountViews Have the media considered that Trump’s trade related burbles don’t really matter much to the markets?

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in US

United States United States Latest News, United States United States Headlines

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

Nearly 100 companies move to Netherlands ahead of Brexit - Dutch agencyNearly 100 companies have relocated from Britain to the Netherlands or set up of... Byeeeee 👋 even more to Belgium How many on average have left over the last 10 years? You know, for some perspective. Anyone can throw out meaningless stats that fit a narrative.
Source: Reuters - 🏆 2. / 97 Read more »

Nearly 100 companies move to Netherlands ahead of Brexit: Dutch agencyNearly 100 companies have relocated from Britain to the Netherlands or set up of... Wow! Doesn't sound good... AlJazeera; a voice of extremism and a platform for violent terrorists “...or set up offices there.” Misleading headline.
Source: Reuters - 🏆 2. / 97 Read more »