US stocks mixed on trade angst, Treasuries rise

US stocks opened slightly lower as investors awaited clarity over progress on trade talks between the world’s two largest economies. The dollar rose with Treasuries.

The S&P 500 Index was little changed and on track for a weekly decline as traders assessed conflicting signals from the US and China on trade talks. Chinese Vice Premier Liu He is in Washington to further the negotiations. Alphabet Inc. fell in early trading ahead of a weekend news story that is said to be critical of the search giant. Brent crude advanced, edging back toward the $80 a barrel-mark it reached on Thursday. Gold extended a retreat after breaking below $1,300 an ounce earlier this week.

In Europe, the common currency fell and Italian 10-year bond yields jumped to the highest since October amid uncertainty over the Five Star Movement-League coalition’s policy platform as they attempt to form a government. The region’s major equity benchmark pared an eighth straight weekly advance.

Russian President Vladimir Putin will meet with German Chancellor Angela Merkel in the Black Sea resort of Sochi later on Friday.

Investors are closely watching progress on the latest US-China trade talks for signs of a breakthrough that could reignite a recent rally in global equities, while factoring in oil prices at a four-year high and a 10-year Treasury yield now firmly above 3%.

Politics in peripheral Europe are also back in the spotlight after Italy’s populist leaders sealed a coalition agreement and a plan for reforms seen as a challenge to the European Union establishment.

The Turkish lira weakened to a fresh record as emerging market currencies headed for their biggest weekly slump since November 2016.

Stocks

— The S&P 500 was down 0.2% at 9:31 AM (EST). The index is down 0.4% in the past five days.
— The Stoxx Europe 600 index dipped 0.2%. It has been up 0.7% this week.
— The MSCI World index of developed countries decreased 0.2%, while the MSCI Asia Pacific index increased 0.1%. The MSCI Emerging Market Index declined 0.6% to the lowest in more than a week.
— Japan’s Nikkei 225 Stock Average gained 0.4% to the highest in 15 weeks.
Currencies

— The Bloomberg Dollar Spot index climbed 0.3% to the highest in more than 20 weeks.
— The euro decreased 0.1% to $1.1779, hitting the weakest in five months with its fifth consecutive decline.
— The British pound declined 0.2% to $1.3491.
— The Japanese yen dipped 0.1% to 110.93 per dollar, hitting the weakest in almost four months with its fifth straight decline.
Bonds

— The yield on 10-year Treasuries fell one basis point to 3.10%, the first retreat in more than a week.
— Germany’s 10-year yield decreased one basis point to 0.63%.
— Britain’s 10-year yield declined two basis points to 1.539%, the biggest fall in more than a week.

Commodities

— West Texas Intermediate crude advanced less than 0.05% to $71.52 a barrel.
— Gold decreased 0.2% to $1,288.29 an ounce, the weakest in more than 20 weeks.
Source: Bloomberg

This article provided by NewsEdge.

This article provided by NewsEdge.