By IFCMarkets

US stock indexes pulled back on Tuesday as President Trump tweeted China may be waiting to see if Democrats win election but warned that “if & when I win, the deal that they get will be much tougher than what we are negotiating now…or no deal at all.” The S&P 500 lost 0.3% to 3013.18 with mixed corporate reports providing little support. Dow Jones industrial slipped 0.1% to 27198.02. The Nasdaq lost 0.2% to 8273.61. The dollar strengthening paused ahead widely expected Fed decision of a 25 basis point rate cut today while core personal consumption expenditure index increased at previous month’s pace of 0.2% over month in June: the live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, gained less than 0.1% to 98.06 but is lower currently. Stock index futures point to higher market openings today

European stocks ended sharply lower on Tuesday undermined by weak earnings reports and renewed US-China trade war concerns after President Trump hardened his rhetoric in tweets. The EUR/USD continued its climb with GBP/USD’s slump intact yesterday but both pairs are higher currently. The Stoxx Europe 600 ended 1.5% lower. The German DAX 30 dropped 2.2% to 12147.24 dragged by Bayer and Lufthansa losses while GfK reported German consumer confidence fell third consecutive month. France’s CAC 40 fell 1.6%. UK’s FTSE 100 lost 0.5% to 7646.77.

Asian stock indices turned lower today as President Trumps warned China that any deal after 2020 election would be much tougher after he is re-elected. Nikkei lost 0.9% to 21521.53 as yen climb against the dollar slowed. Chinese stocks are falling as data showed China’s factory activity contracted again in July: the Shanghai Composite Index is down 0.7% and Hong Kong’s Hang Seng index is 1.2% lower. Australia’s All Ordinaries Index fell 0.5% as Australian dollar’s climb against the greenback resumed.

Brent futures prices are edging lower today. The American Petroleum Institute late Tuesday report indicated US crude inventories fell by 6 million barrels last week. Prices rose yesterday: October Brent gained 1.6% to $66.63 a barrel on Tuesday. Today at 16:30 CET the Energy Information Administration will release US Crude Oil Inventories.

Market Analysis provided by IFCMarkets

Note:
This overview has an informative and tutorial character and is published for free. All the data, included in the overview, are received from public sources, recognized as more or less reliable. Moreover, there is no guarantee that the indicated information is full and precise. Overviews are not updated. The whole information in each overview, including opinion, indicators, charts and anything else, is provided only for familiarization purposes and is not financial advice or а recommendation. The whole text and its any part, as well as the charts cannot be considered as an offer to make a deal with any asset. IFC Markets and its employees under any circumstances are not liable for any action taken by someone else during or after reading the overview.