U.S. stocks fall again on North Korea fears

Ann Santiago
August 10, 2017

"As a result all major U.S. markets closed lower for the first time in over two weeks, and this weakness unsurprisingly has spilled over into Asia markets as well, as geopolitical tensions prompt some nervousness, particularly since North Korea's state media suggested that they examining the prospect of a missile strike near the USA base in Guam".

U.S. markets closed lower on Tuesday's trade after President Donald Trump warned North Korea, saying that threats will be "met with fire and fury".

About 15 minutes into trading, the Dow Jones Industrial Average stood at 22,027.25, down 0.3 percent.

Canadian stocks may fall Wednesday after tensions between the USA and North Korea escalated.

In New York, the Dow Jones industrial average fell 36.64 points to 22,048.70, the S&P 500 index inched down 0.90 of a point to 2,474.02 and the Nasdaq composite index lost 18.13 points to 6,352.33. The Shanghai Composite Index lost 0.2 percent to 3,275.57 and Hong Kong's Hang Seng was off 0.3 percent at 27,757.09.

The 10-day Dow winning streak that ended was the second double-digit string of up days this year - the first time that has happened since 1959.

Travel website operator Priceline Group Inc fell 8.2 percent after a disappointing financial forecast.


Gold was the big victor Wednesday as stocks pared back to moderate losses and Walt Disney (DIS) dragged on the Dow, while Netflix (NFLX) and Priceline Group (PCLN) hindered the Nasdaq and retailers took some brutal hits after reporting second-quarter results.

USA equivalents fell 4 bps to 2.24 percent. United States crude futures fell 32 cents, or 0.7%, to $49.07 a barrel on the New York Mercantile Exchange. It fell 19 cents, or 0.4 percent, to $49.39 per barrel Monday in NY.

Top military brass and President Trump are being sued by five USA military members that want to keep Trump's transgender ban from becoming a reality - "in any capacity". Brent crude, the worldwide standard, lost 28 cents to $52.09 a barrel in London. The euro edged down to $1.1726 from $1.1751. Prices for bonds and gold headed higher. The yield on the 10-year Treasury note held steady at 2.26 percent. Britain's FTSE 100 added 0.1 percent.

Results also drove some sharp moves lower.

In Europe, France's CAC 40 fell 1.6 percent to 5,135 while Germany's DAX was down 1.3 percent at 12,133.

Japan's Nikkei 225 was down 1.25% and South Korea's Kospi declined 0.68%.

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