Breaking News
0

Stocks - U.S. Futures Decline on Weak Chinese, German Data 

Stock MarketsAug 14, 2019 06:46AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

Investing.com - U.S. futures fell on Wednesday as data from China and Germany showed the continuing damage to the world economy from trade-related disputes.

Industrial output growth in China fell to a 17-year low in July, while Germany’s 0.1% decline in GDP pointed towards the euro zone’s biggest economy suffering a recession this year, analysts said.

"Given varied risks, a gloomy global trade outlook and elevated uncertainty, we expect the (German) economy to post another mild decline in Q3 19 and therefore enter a technical recession even before Brexit and US-EU trade risks are due to crystallize," Barclays (LON:BARC) economist Iaroslav Shelepko said in a note to clients after the data.

The signs of economic weakness were a sobering reminder of the challenges to equity markets, ending a short-lived relief rally on Tuesday triggered by the U.S.'s decision to delay new tariffs on some Chinese goods to early December.

Nasdaq 100 futures fell 74 points or 1% by 6:42 AM ET (10:42 GMT), while Dow futures dipped 235 points, or 0.9%, and S&P 500 futures declined 25 points or 0.9%.

Technology companies were down in premarket trade, on worries that the slowdown in the Chinese economy - as reflected in another drop in retail sales growth in July - could hit their bottom line. Apple (NASDAQ:AAPL) fell 1.5%, while AMD dipped 1.6% and Intel (NASDAQ:INTC) declined 0.9%.

Banking stocks were under pressure on fears for their profit margins as the yield curve stays stubbornly inverted. Citigroup (NYSE:C) lost 2.3%, while JP Morgan was down 1.8% and Morgan Stanley (NYSE:MS) fell 2.1%.

Cannabis company Tilray (NASDAQ:TLRY) fell 8.8% after posting a bigger-than-expected loss due to increased operating expenses.

Second-quarter earnings season is winding down this week, but networking gear maker Cisco (NASDAQ:CSCO) will still be closely-watched when it reports after the close.

In commodities, crude oil slumped 1.6% to $56.17 a barrel after reaching a high of $57.10 during the prior session. Gold futures gained 0.3% to $1,518.55 a troy ounce, while the U.S. dollar index, which measures the greenback against a basket of six major currencies, was down 0.1% to 97.537.

Stocks - U.S. Futures Decline on Weak Chinese, German Data 
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments
Tim Mcdaniel
Tim Mcdaniel Aug 14, 2019 8:10AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
buy the pessimism sell the exuberance.
DANIEL MERTECHS
DANIEL MERTECHS Aug 14, 2019 7:23AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Even a novice would not expect healthy data pouring out...So were the "pros" caught off-guard?
Jonathan Bartholomew
Jonathan Bartholomew Aug 14, 2019 7:14AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The yield curve inverted because of the weak Chinese and German data. Just saying.
Kevin McCarthy
Kevin McCarthy Aug 14, 2019 7:06AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
futures didn't start falling till the yield curve inverted. just saying.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email