{"id":111593,"date":"2017-08-24T07:50:29","date_gmt":"2017-08-24T11:50:29","guid":{"rendered":"http:\/\/countingpips.com\/?p=111593"},"modified":"2017-08-24T06:57:14","modified_gmt":"2017-08-24T10:57:14","slug":"trump-shutdown-comment-weighs-on-market-sentiment","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/08\/trump-shutdown-comment-weighs-on-market-sentiment\/","title":{"rendered":"Trump shutdown comment weighs on market sentiment"},"content":{"rendered":"
August 24, 2017<\/div>
\r\n<\/div><\/div>

By IFCMarkets<\/a><\/p>\n

\n
\n

US stocks retreat after Trump shutdown threat<\/h2>\n<\/div>\n<\/div>\n

US stocks\u00a0<\/b>ended lower on Wednesday reversing some of previous day gains as President Trump\u2019s comment he is ready to shut down the government if Congress provides no funding for a border wall with Mexico weighed on market sentiment. The dollar erased most of its previous day gains: 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, closed down 0.3% at 93.18. The\u00a0S&P 500<\/a>\u00a0fell 0.4% settling at 2444.04 led by consumer-discretionary and industrial stocks. Eight out of 11 main sectors ended lower. The\u00a0Dow Jones\u00a0<\/em>industrial average lost 0.4% to 22812.09.\u00a0Nasdaq\u00a0<\/em>composite slipped 0.3% to 6278.41.<\/p>\n

\n
\n

Besides the controversial comment he was ready to shut down government over $1.6 billion for Mexican border wall funding, President Trump said the North American Free Trade Agreement might be terminated with talks still underway. The recent higher volatility can also partly be explained by lower than usual trading volumes: total volume for US stocks was 5 billion shares Wednesday, the lowest year to date, with average daily volume in August at 5.98 billion shares. House Speaker Paul Ryan later played down the likelihood of a government shutdown. Economic data were mixed: the manufacturing purchasing managers index fell to a two-month low 52.5 in August, while the Services PMI rose to 56.9, the highest level in 28 months. Separately, a reading of new homes sales fell 9.4% on month in July.<\/p>\n<\/div>\n<\/div>\n

\n
\n

European stocks slip despite strong factory activity data<\/h2>\n<\/div>\n<\/div>\n

European stock indices\u00a0<\/b>retreated on Wednesday as a sharp downgrade of sales forecast by WPP advertising giant dented investor confidence ahead of a central bank symposium in Jackson Hole. The\u00a0euro\u00a0<\/em>rose against the dollar on positive euro-zone data and\u00a0British Pound\u00a0<\/em>inched lower. The Stoxx Europe 600 index lost 0.5%. Germany\u2019s\u00a0DAX 30\u00a0<\/em>fell 0.45% to 12174.30. France\u2019s\u00a0CAC 40\u00a0<\/a>slipped 0.32% and UK\u2019s\u00a0FTSE 100\u00a0<\/em>was little changed at 7382.65.Indices opened 0.2%-0.4% higher today.<\/p>\n

\n
\n

WPP shares sank 10.9% as media advertising giant cut its full-year sales outlook after a drop in demand caused it to miss first-half targets. In economic news, the increase in euro-zone Manufacturing PMI offset a slowdown in the services index, supporting the euro despite dovish comments by ECB president Draghi.<\/p>\n<\/div>\n<\/div>\n

\n
\n

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

Asian stock indices<\/b>\u00a0are mixed today after controversial comments overnight by President Trump threatening a government shutdown and possible end of the North American Free Trade Agreement. The yen rose against the dollar which weighed on Japanese stocks. TheNikkei\u00a0<\/em>ended 0.4% lower at 19353.77 despite weaker yen against the dollar. Falling steelmaker stock prices dragged the index lower on media reports Japan\u2019s biggest steel producer had agreed on a price cut with Toyota. Chinese stocks are mixed:\u00a0Shanghai Composite Index<\/em>is 0.5% lower despite a 23% jump in profits for state owned firms in the first seven months of 2017 from a year earlier. Hong Kong\u2019s\u00a0Hang Seng Index\u00a0<\/em>is up 0.4%. Australia\u2019s All Ordinaries Index is 0.2% higher lifted by gains in mining stocks with the Australian dollar continuing the slide against the US dollar.<\/p>\n

\"<\/p>\n

\n
\n

Oil higher after US inventory draw<\/h2>\n<\/div>\n<\/div>\n

Oil futures prices\u00a0<\/b>are steady today after US inventories official report indicated crude inventories dropped by 3.3 million barrels last week to 463.17 million barrels. October Brent crude rose 1.4% to $52.57 a barrel on Wednesday on London\u2019s ICE Futures exchange. Gains were limited yesterday by Energy Information Administration report total domestic crude-oil output rose 26 thousand barrels a day last week to 9.528 million barrels a day.<\/p>\n

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

\r\n
\r\n

Free Reports:<\/p><\/div>\r\n

\r\n

<\/a>\r\n\t Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p>

\r\n
\r\n
\r\n

<\/a>\r\n\t Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p>

\r\n<\/div>\r\n

\r\n
<\/div>\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 US stocks retreat after Trump shutdown threat US stocks\u00a0ended lower on Wednesday reversing some of previous day gains as President Trump\u2019s comment he is ready to shut down the government if Congress provides no funding for a border wall with Mexico weighed on market sentiment. The dollar erased most of its previous day […]<\/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-111593","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/111593","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=111593"}],"version-history":[{"count":3,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/111593\/revisions"}],"predecessor-version":[{"id":111599,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/111593\/revisions\/111599"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=111593"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=111593"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=111593"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}