Wall Street should open flat as fears of global growth persist By Reuters



[ad_1]


© Reuters. Traders work on the floor of the New York Stock Exchange (NYSE) shortly after the opening bell in New York

By Shreyashi Sanyal

(Reuters) – The main Wall Street indexes were set to open on Wednesday, as fears of global growth and a long, inverted US yield curve pushed investors away from riskier assets.

Some losses were eased after a Commerce Department report showed the US trade deficit had declined more than expected in January, likely because Chinese soybean purchases led to a rebound in exports after three monthly declines consecutive.

The 10-year Treasury yields dropped to their lowest levels since December 2017 on Wednesday, a day after showing signs of stabilization that boosted financials and helped consolidate the three leading indices.

Wall Street is affected by fears of a slowdown in global economic growth since last week, following poor statistics on factories in the US, Europe and Japan, as well as weak consumer confidence. consumers for March this week.

Adding to worries about global growth, Chinese data showed Wednesday that industrial profits had fallen most sharply since the end of 2011 in the first two months of the year.

"There have been recent fears and market agitations created by a buffet of concerns, it's not a thing, so investors are pausing this morning," said Andre Bakhos, chief executive of New Vines Capital LLC in Bernardsville, New Jersey.

"The yield curve that is reversed is another data point that investors are looking at, which is why our relationship with China and global growth is becoming a concern."

The European Central Bank (ECB) said on Wednesday that it could further delay the expected rise in interest rates due to growing threats to growth a week after the Federal Reserve dropped any rate hike this year.

At 8:37, ET, down 9 points, or 0.04%. were down 0.5 point or 0.02% and up 6.25 points or 0.08%.

Markets were also expecting further developments in the US-China trade talks and a new round of high-level talks was scheduled to begin on Thursday.

Among the pre-market equity trading, Boeing (NYSE 🙂 Co. was up 0.3% ahead of a planned 737 MAX briefing for airline pilots and airline representatives in Washington later in the day.

Centene Shares of (NYSE 🙂 Corp. slipped 9.3% after the health insurance company announced it would buy a smaller rival, WellCare Health Plans Inc., for $ 15.27 billion. WellCare shares jumped 11.6%.

Southwest Airlines (NYSE 🙂 Co declined 0.8% after the company reduced its financial outlook following recent grounding by Boeing 737 MAX.

Lennar Corp. (NYSE 🙂 rose 2.3% as the homebuilder said it expected an improvement in the housing market, even after the absence of Wall Street estimates for the first quarter.

Warning: Fusion Media I would like to remind you that the data contained in this website is not necessarily real-time or accurate. All CFD (stocks, indices, futures) and Forex prices are not provided by stock exchanges but by market makers. As a result, prices may not be accurate and may differ from market prices, meaning that prices are indicative and not suitable for trading purposes. As a result, Fusion Media assumes no responsibility for any business losses you may suffer as a result of using this data.

Fusion Media or anyone involved in Fusion Media will not accept any liability for loss or damage arising from the use of information, including data, quotes, charts and buy / sell signals contained in this website. Please be fully aware of the risks and costs associated with financial market transactions. This is one of the most risky forms of investing possible.

[ad_2]
Source link