{"id":111475,"date":"2017-08-22T07:30:35","date_gmt":"2017-08-22T11:30:35","guid":{"rendered":"http:\/\/countingpips.com\/?p=111475"},"modified":"2017-08-22T06:47:26","modified_gmt":"2017-08-22T10:47:26","slug":"north-korea-tensions-back-in-focus","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/08\/north-korea-tensions-back-in-focus\/","title":{"rendered":"North Korea tensions back in focus"},"content":{"rendered":"
August 22, 2017<\/div>
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By IFCMarkets<\/a><\/p>\n

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S&P 500, Dow climb while Nasdaq slips<\/h2>\n<\/div>\n<\/div>\n

US stocks\u00a0<\/b>inched higher on Monday in thin trading amid renewed geopolitical tensions around North Korea as the US and South Korea started annual military exercises after the standoff between US and North Korea following Kim Jong Un\u2019s threats to fire a missile near Guam waters more than a week ago. The dollar weakened: the\u00a0live dollar index<\/a>\u00a0data show the ICE US Dollar index, a measure of the dollar\u2019s strength against a basket of six rival currencies, fell 0.3% to 93.08.\u00a0S&P 500\u00a0<\/em>closed up 0.1% settling at 2428.37, with eight of its 11 main sectors closing higher. The\u00a0Dow Jones\u00a0<\/a>industrial average gained 0.1% to 21703.75, lifted by 1.2% gain in Home Depot shares. TheNasdaq\u00a0<\/em>composite index lost less than 0.1% closing at 6213.13 as technology stocks lost momentum.<\/p>\n

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Treasury yields declined in anticipation of the central banker symposium in Jackson Hole, Wyoming from August 24 to August 26. Investors are concerned about the lackluster inflation even as global economy improves. This makes the likelihood of another Fed rate hike this year lower. Earlier there were expectations European Central Bank President Draghi might use the conference to announce about the start of tapering the monthly 60 billion bond buying program. However later reports suggested Draghi wouldn\u2019t announce a policy shift at the conference. In economic news the Chicago Fed\u2019s National Activity Index, a gauge of US economic activity, fell to negative 0.01 from 0.16 in June.<\/p>\n

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North Korea tensions weigh on European markets<\/h2>\n<\/div>\n<\/div>\n

European stock indices\u00a0<\/b>retreated on Monday as tension on Korean peninsula elevated after the US and South Korea commenced annual military exercises. Both the\u00a0euro\u00a0<\/em>and\u00a0British Pound\u00a0<\/em>ended to ganins against the dollar. The Stoxx Europe 600 index fell 0.4% following 0.7% loss Friday. The\u00a0DAX 30\u00a0<\/em>dropped 0.8% to 12065.99. France\u2019s\u00a0CAC 40\u00a0<\/em>fell 0.5% and UK\u2019s\u00a0FTSE 100\u00a0<\/a>slipped 0.1% to 7318.88. European stock indices opened 0.5% – 0.7% higher today.<\/p>\n

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Investors will be watching the Kansas City Fed\u2019s symposium in Jackson Hole, Wyoming, which starts Thursday. Central bankers will speak about inflation and trade relations in light of Trump policies. Fiat shares jumped 6.9% after reports China\u2019s Great Wall Motor Company had expressed interest in buying the Italian-American car maker.<\/p>\n

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Asian stocks mixed<\/h2>\n<\/div>\n<\/div>\n

Asian stock indices<\/b>\u00a0are mixed today with investors cautious after the United States and South Korea began annual joint military exercises which North Korea called a “reckless” step toward nuclear conflict.\u00a0Nikkei\u00a0<\/em>slipped 0.1% to 19383.84 despite a weaker yen against the dollar. Chinese stocks are mixed: the\u00a0Shanghai Composite Index\u00a0<\/em>is down 0.1% while Hong Kong\u2019s\u00a0Hang Seng\u00a0<\/em>Index is 1.2% higher. Australia\u2019s All Ordinaries Index is up 0.4% on higher industrial metals prices with Australian dollar little changed against the greenback.<\/p>\n

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Oil higher<\/h2>\n<\/div>\n<\/div>\n

Oil futures prices\u00a0<\/b>are inching higher today on signs of tightening US supplies. Analysts expect US crude inventories fell for an eighth straight week. Prices fell on Monday as Organization of the Petroleum Exporting Countries technical meeting with non-cartel members in Vienna didn\u2019t provide any update. October Brent crude lost 2% settling at $51.66 a barrel on London\u2019s ICE Futures exchange on Monday.<\/p>\n<\/div>\n<\/div>\n

Market Analysis provided by IFCMarkets<\/a><\/p>\n

Note:
\nThis 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 \u0430 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.<\/p>\n","protected":false},"excerpt":{"rendered":"

By IFCMarkets S&P 500, Dow climb while Nasdaq slips US stocks\u00a0inched higher on Monday in thin trading amid renewed geopolitical tensions around North Korea as the US and South Korea started annual military exercises after the standoff between US and North Korea following Kim Jong Un\u2019s threats to fire a missile near Guam waters more […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-111475","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/111475","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=111475"}],"version-history":[{"count":3,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/111475\/revisions"}],"predecessor-version":[{"id":111483,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/111475\/revisions\/111483"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=111475"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=111475"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=111475"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}