Stock futures in the United States are in the red today in pre-market trading as Google and Amazon earnings disappointed investors. Tech stocks have been one of the best performers in the stock market this year and any weakness from them will pull down the rest of the market.
Moreover, Volatility in global markets has picked up substantially over the last couple of weeks as Treasury yields rose and remain elevated. This continues to be a problem as investors start dumping riskier assets to pile into Treasuries.
Asian stocks fell today as investors fled riskier assets. A couple of the notable moves across Asia today:
- Japan’s NIKKEI 500 Index fell 0.74%;
- The Shanghai Composite Index was down 0.19%;
- Hong Kong’s Hang Seng Index dropped 1.16%;
- South Korea’s KOSPI Index fell 1.75%;
- India’s SENSEX traded down 0.65%;
European stock markets is also down in early trading. A look at some of Europe’s top indices shows:
- London’s FTSE Index is down 1.53%;
- The German DAX Index fell 2.00%;
- The FTSE Italia All Shares Index dropped 1.83%;
- The French CAC 40 Index is tumbled 2.44% at the open.
European stock markets will continue to focus on issues within their own markets such as the Brexit negotiations and the Turkish Lira Crisis. Additionally, European investors are keeping a close eye on developments in Italy as investors have become fearful of potential anti-EU measures by the new government.
US Futures Are Trading Lower in Pre-Market Action
The U.S. stock market is down in pre-market trading. Specifically, the NASDAQ and the S&P 500 futures are down 2.69% and 1.54%, respectively.
Finally, investors will continue to take their cues from the news cycle heading. Indeed, any new developments in the Trump legal morass or global trade disputes could see it drive markets in either direction.