- Uganda fuel truck explosion kills at least 10
- Forest owner Marinakis banned for spitting towards officials
- ECB chief Lagarde invites Trump to visit after central bank criticism
- Blinken urges Israel to reach Gaza truce, allow more aid
- As Trump touts tariffs, Yellen says US has rejected 'isolationism'
- Argentina prosecutors deny releasing Liam Payne toxicology tests
- India, China and S.Africa leaders bolster Putin at key summit
- Windfall tax backlash menaces Spain's green energy sector
- England winger Gordon signs Newcastle contract extension
- Ex-Abercrombie CEO charged with sex crimes
- US plans to contribute $20 bn for Ukraine loan: Yellen
- Critically endangered whale species rebounds slightly
- US interest rate, election uncertainty hit stock market sentiment
- Russian dissident Navalny's memoir published worldwide
- Strong auto prices lift GM results as it eyes China revamp
- 'Dutchman' Hirscher to step out of retirement in Soelden
- UN eyes modest 2024 maritime trade growth, but future uncertain
- 70% of Cuba's population has power back after blackout
- Families separated by front line in Russia's Kursk region
- India, China and S.Africa leaders underpin Putin at key summit
- Navalny memoirs spark mix of curiosity, indifference in Moscow
- Modi calls for quick end to Ukraine conflict in talks with Putin
- Ukraine peace talks, NATO invite may hinge on US elections, Zelensky says
- Leipzig players 'not yet talking' about Klopp, says Openda before Liverpool tie
- IMF predicts slightly slower global growth in 2024 and 2025
- US interest rate, election uncertainy hit stock market sentiment
- Guardiola applauds Man City mentality ahead of Sparta Prague test
- San Siro saga continues as Inter and AC Milan propose new stadium project
- French luxury brand Chanel to sponsor Oxford v Cambridge Boat Race
- Flick calm despite Barca's dire Bayern record
- Kenya court hears challenge to deputy leader's impeachment
- Women footballers call on FIFA to drop Saudi Aramco as sponsor
- Mozambican opposition leader says security forces killed his lawyer
- Modi calls for quick end to Ukraine conflict in meeting with Putin
- Stock markets diverge tracking US outlook
- Snyman returns for Springboks' November internationals
- Bangladesh battle at 101-3 as South Africa threaten innings defeat
- Over 250 women in talks with Harrods over Al-Fayed claims
- England pick Ahmed as third spinner for deciding Pakistan Test
- Verreynne century puts South Africa on top, Bangladesh 19-2 at tea
- Navalny's tomb 'covered with fresh flowers every day': widow
- Schauffele targets more success in Japan after major breakthroughs
- Rare Tintin albums go under the hammer in Paris
- Blinken in Israel to push for Gaza truce
- Most markets fall as traders weigh US rates outlook
- Harris and Trump push for every vote with just 14 days to go
- Hyundai Motor India shares dip on debut after record IPO
- South Africa 243-8 at lunch, lead Bangladesh by 137
- Apple CEO visits China for second time this year as sales slump
- Glasgow confirmed as host of 10-sport 2026 Commonwealth Games
RYCEF | -0.68% | 7.35 | $ | |
RBGPF | 2.42% | 62 | $ | |
CMSD | 0.18% | 24.915 | $ | |
CMSC | 0.32% | 24.73 | $ | |
GSK | -0.54% | 37.955 | $ | |
SCS | -0.59% | 12.815 | $ | |
RELX | -1.37% | 46.985 | $ | |
NGG | -1.33% | 66.15 | $ | |
RIO | 0.67% | 65.389 | $ | |
BTI | 1.15% | 34.647 | $ | |
BP | 0.29% | 31.562 | $ | |
VOD | -0.78% | 9.555 | $ | |
AZN | -0.25% | 77.25 | $ | |
BCC | -1.56% | 135.78 | $ | |
JRI | -0.54% | 13.08 | $ | |
BCE | -0.41% | 33.255 | $ |
US interest rate, election uncertainty hit stock market sentiment
European and US stock markets dipped on Tuesday, as traders sought to ascertain the outlook for US interest rates ahead of the presidential election.
Investors also focused on company earnings, as gold and oil prices continued to rise on the back of Middle East tensions.
The dollar edged higher against main rivals.
"A mix of continuing unrest in the Middle East and uncertainty over the US election casts a cautious shadow over markets," noted Derren Nathan, head of equity research at Hargreaves Lansdown.
Concerns over the outcome of the US election on November 5 have weighed on investor sentiment, with recent polls and forecasts indicating that Donald Trump has "gained ground" on Kamala Harris, Deutsche Bank economists noted.
Expectations of another bumper US interest-rate cut from the Federal Reserve have been tempered slightly following a recent run of strong American data on jobs creation and as some top decision-makers suggested they would like to see a slower pace of rate cuts.
Tech titans Alphabet and IBM announce their latest results over the next two days, while earnings from Boeing, Coca-Cola, and L'Oreal are also in the pipeline.
General Motors raised some of its full-year profit projections Tuesday following solid earnings as strong vehicle pricing compensated for lower auto sales.
3M, GE Aerospace, Lockheed Martin and Verizon also beat expectations.
Briefing.com analyst Patrick O'Hare said there is a bit of debate on why equities have retreated despite the generally good corporate earnings reports.
One is that a rise in market interest rates has created concerns that equities are trading at levels too high compared to their earnings.
"The other possibility is that stocks hit some speed bumps yesterday because the market had gone up six straight weeks and was due for a pullback," he said.
Wall Street's main indices were down slightly in late morning trade.
In Europe, London stocks dipped following data that showed UK public borrowing rose more than expected in September, as the new Labour government prepares for its first budget next week that is expected to include tax rises.
Frankfurt also edged lower but was bolstered by strong third-quarter earnings for German software giant SAP, whose shares were up nearly four percent in early afternoon deals.
Paris ended the day flat.
In Asia, both Shanghai and Hong Kong rose on hopes of more Chinese stimulus.
Tokyo closed down more than one percent, even as the yen softened against the dollar to sit at its weakest level since early August.
Gold hit a fresh record high of $2,744 per ounce as traders sought out the haven investment as Israel continues to consider its response to Iran's missile barrage this month.
Uncertainty over the US presidential election has also helped fuel the precious metal's rally, according to analysts who added that concerns about a possible wider conflict in the Middle East were lifting oil prices.
- Key figures around 1540 GMT -
New York - Dow: DOWN 0.2 percent at 42,861.58 points
New York - S&P 500: DOWN 0.2 percent at 5,839.65
New York - Nasdaq Composite: DOWN 0.1 percent at 18,518.11
London - FTSE 100: DOWN 0.1 percent at 8,306.54 (close)
Paris - CAC 40: FLAT at 7,535.10 (close)
Frankfurt - DAX: DOWN 0.2 percent at 19,421.91 (close)
Tokyo - Nikkei 225: DOWN 1.4 percent at 38,411.96 (close)
Hong Kong - Hang Seng Index: UP 0.1 percent at 20,498.95 (close)
Shanghai - Composite: UP 0.5 percent at 3,285.87 (close)
Euro/dollar: DOWN at $1.0815 from $1.0818 on Monday
Pound/dollar: DOWN at $1.2981 from $1.2982
Dollar/yen: UP at 150.98 yen from 150.82 yen
Euro/pound: UP at 83.31 pence from 83.30 pence
Brent North Sea Crude: UP 2.0 percent at $75.74 per barrel
West Texas Intermediate: UP 2.1 percent at $71.54 per barrel
burs-rl/gv
J.Oliveira--AMWN