Global Markets: Dollar rises on safe-haven bid, stocks mixed
By Rodrigo Campos NEW YORK (Reuters) - The U.S.
By Rodrigo Campos
NEW YORK (Reuters) - The U.S. dollar continued to rise on Tuesday and stocks were mixed as new economic curbs to control the spread of COVID-19 raised the fear of a second wave of lockdowns that could reverse the nascent economic rebound.
Crude rose after a hard fall on Monday while stocks in Europe and Wall Street offset most of the losses elsewhere. The dollar index was having its strongest two-day run since April.
Sterling took a hit after UK Prime Minister Boris Johnson told Britons to go back to working from home, along with new curbs on pubs, bars and restaurants that he said could be in place for as long as six months without some form of vaccine.
"As we all know the virus doesn't live in a vacuum and what you see in one country or region will affect other places. Economically it could have an effect," said Minh Trang, senior FX trader at Silicon Valley Bank.
"Typically when there's some fear in the market and some unknowns, investors would flow toward the dollar as a temporary safe haven."
The dollar index rose 0.468%, with the euro down 0.55% to $1.1704.
The Japanese yen weakened 0.36% versus the greenback at 105.03 per dollar, while Sterling was last trading at $1.2719, down 0.74% on the day.
The risk off sentiment was not enough to drag U.S. stocks into the red, but it did put a lid on gains that follow a sharp drop in equities on Monday.
The Dow Jones Industrial Average fell 26.74 points, or 0.1%, to 27,120.96, the S&P 500 gained 12.17 points, or 0.37%, to 3,293.23 and the Nasdaq Composite added 76.26 points, or 0.71%, to 10,855.06.
The pan-European STOXX 600 index rose 0.20% and MSCI's gauge of stocks across the globe shed 0.01%.
Emerging market stocks lost 0.85%. MSCI's broadest index of Asia-Pacific shares outside Japan closed 1.11% lower.
U.S. Treasury debt yields edged lower, with benchmark 10-year notes last up 1/32 in price to yield 0.6675%, from 0.671% late on Monday.
Oil prices rose as analysts took the view that renewed lockdown restrictions would have only a limited impact on fuel demand, partly reversing a steep drop in prices the previous day.
U.S. crude recently rose 0.56% to $39.53 per barrel and Brent was at $41.74, up 0.72% on the day.
Spot gold dropped 0.5% to $1,902.56 an ounce.
(Reporting by Rodrigo Campos; additional reporting by Sinéad Carew and Chuck Mikolajczak in New York and Bozorgmehr Sharafedin in London; editing by Chris Reese)
This story has not been edited by Firstpost staff and is generated by auto-feed.
By Robin Emmott and John Irish | BRUSSELS/PARIS BRUSSELS/PARIS France and Germany will agree to a U.S. plan for NATO to take a bigger role in the fight against Islamic militants at a meeting with President Donald Trump on Thursday, but insist the move is purely symbolic, four senior European diplomats said.The decision to allow the North Atlantic Treaty Organization to join the coalition against Islamic State in Syria and Iraq follows weeks of pressure on the two allies, who are wary of NATO confronting Russia in Syria and of alienating Arab countries who see NATO as pushing a pro-Western agenda."NATO as an institution will join the coalition," said one senior diplomat involved in the discussions. "The question is whether this just a symbolic gesture to the United States
BEIJING Chinese President Xi Jinping on Wednesday called for greater efforts to make the country's navy a world class one, strong in operations on, below and above the surface, as it steps up its ability to project power far from its shores.China's navy has taken an increasingly prominent role in recent months, with a rising star admiral taking command, its first aircraft carrier sailing around self-ruled Taiwan and a new aircraft carrier launched last month.With President Donald Trump promising a US shipbuilding spree and unnerving Beijing with his unpredictable approach on hot button issues including Taiwan and the South and East China Seas, China is pushing to narrow the gap with the U.S. Navy.Inspecting navy headquarters, Xi said the navy should "aim for the top ranks in the world", the Defence Ministry said in a statement about his visit."Building a strong and modern navy is an important mark of a top ranking global military," the ministry paraphrased Xi as saying.