You are here: Home > articles > Forex > Dow sinks 400 points in early trade as the stock market contends with a fresh threat: a rising dollar
Dow sinks 400 points in early trade as the stock market contends with a fresh threat: a rising dollar
November 12, 2018 6:51 pmVideo
Latest News
- EUR/USD. April 16th. Bears continue to advance against the backdrop of strong US statistics April 16, 2024
- Euro, sterling extend weakness April 16, 2024
- GBP/USD. April 16th. British statistics didn’t capture traders’ attention April 16, 2024
- Technical Analysis – EURCHF ticks up after strong losses April 16, 2024
- Technical Analysis – JP 225 index tests crucial support zone April 16, 2024
- Market Comment – Stocks slide, dollar soars as rate cut bets take another hit April 16, 2024
- Forex forecast 04/16/2024: EUR/USD, USDX, Gold and SP500 from Sebastian Seliga April 16, 2024
- GBP/USD: trading tips for beginners for European session on April 16 April 16, 2024
- EUR/USD: trading tips for beginners for European session on April 16 April 16, 2024
- What’s next for markets amid Israel-Iran tensions? – Special Report April 16, 2024
- Technical Analysis – GBPUSD pulls back into the negative zone April 16, 2024
- Geopolitical developments and stronger US data push volatility to new highs across the board – Volatility Watch April 16, 2024
- Technical Analysis – AUDUSD breaks the lower bound of a sideways range April 16, 2024
- Video market update for April 16, 2024 April 16, 2024
- Hot forecast for EUR/USD on April 16, 2024 April 16, 2024
- Technical Analysis – EURUSD dives further near 1.0600 April 16, 2024
- XM 2024 Ramadan Promotion Winners April 16, 2024
- EUR/USD and GBP/USD: Technical analysis on April 16 April 16, 2024
- Key events on April 16: fundamental analysis for beginners April 16, 2024
- Overview of the GBP/USD pair. April 16th. The pound may rebound, but the flat is over, and there are no reasons for growth April 16, 2024
The Dow Jones Industrial Average early Monday was trading near session lows, amid a firming U.S. dollar. Last week, investor sentiment was buffeted by a rapid decline in crude-oil prices CLZ8, +0.90% which fell into bear-market territory, defined as a drop from a recent peak of at least 20%. And while that threat has stabilized somewhat, with the Organization of the Petroleum Exporting Countries considering cuts to production to address rising crude-oil inventories, a new problem appears to knocking stocks around. Some market participants were attributing a rise in the dollar to a roughly 1 1/2-year high as one of the key factors producing fresh headwinds for the broader market.
A popular gauge of the buck, the ICE U.S. Dollar Index DXY, +0.50% was trading at 97.48, representing its highest level since June of 2017, according to FactSet data. A stronger dollar can hurt sales of multinational companies, making goods relatively more expensive to customers purchasing abroad. Meanwhile, the bond market was closed in observance of Veterans Day. Most recently, the Dow DJIA, -1.69% was down 400 points, or 1.6%, at 25,584, the S&P 500 index SPX, -1.58% was off 1.5% at 2,738, while the Nasdaq Composite Index COMP, -2.58% retreated by 2.7% at 7,204.
To be sure, a decline in shares of Apple Inc. AAPL, -4.70% after a series of negative reports on its holiday shipping also was weighing on technology and internet-related stocks and the broader market. A sharp decline in shares of Goldman Sachs Group Inc. GS, -5.98% also was delivering a hefty blow to the Dow and the broader market.
Related Posts: