Equities<\/p>\n
World stocks fell as investors dumped chipmakers on concerns about Chinese competition and funding of the AI boom, while rising odds of a U.S. interest rate hike as early as this week further dampened the mood.<\/p>\n
Asian chipmakers were at the heart of the sell-off, with South Korea\u2019s KOSPI diving more than 10 per cent to a three-month low. Shares in SK Hynix and Samsung Electronics made losses of more than 12 per cent as their stratospheric rally unwinds in a hurry. <\/p>\n
U.S. markets looked set for a weaker open as Nvidia and Micron Technology\u2019s shares fell in premarket trading. Though Dow futures pointed up, S&P 500 and Nasdaq futures were in the red after Wall Street closed mixed on Monday. <\/p>\n
TSX futures were in positive territory after finishing the previous trading day at a record high.<\/p>\n
In Canada, investors are getting results from Allied Properties REIT, Centerra Gold Inc., Great-West Lifeco Inc., Intact Financial Corp., Tamarack Valley Energy Ltd. and Toromont Industries Ltd.<\/p>\n
On Wall Street, markets are watching earnings from Boardwalk REIT, Boeing Co., Coca-Cola Co.; Ford Motor Co., Hilton Worldwide Holdings Inc., Mondelez International Inc., NXP Semiconductors NV, Seagate Technology PLC, United Parcel Service Inc., and Visa Inc.<\/p>\n
\u201cThere is no one red flag that\u2019s moving the market,\u201d said Chris Weston, head of research at broker Pepperstone in Melbourne, but rather a combination of nerves about AI funding and China\u2019s rise as a competitor all along the supply chain.<\/p>\n
Overseas, the pan-European STOXX 600 was up 0.38 per cent in morning trading. Britain\u2019s FTSE 100 gained 0.60 per cent, Germany\u2019s DAX rose 0.66 per cent and France\u2019s CAC 40 advanced 0.61 per cent.<\/p>\n
In Asia, Japan\u2019s Nikkei closed 3.95 per cent lower, while Hong Kong\u2019s Hang Seng rose 0.41 per cent.<\/p>\n
Commodities<\/p>\n
Oil prices extended losses, hitting their lowest levels in more than a week as hopes for a resolution to the U.S.-Iran conflict grew and traders continued to assess developments in the Middle East.<\/p>\n
Brent crude futures were down 2.86 per cent at US$85.83. U.S. West Texas Intermediate crude was down 2.40 per cent at US$80.63.<\/p>\n
U.S. President Donald Trump said on Monday Washington was having \u201cgood talks\u201d with Iran and that there was the chance of a resolution. However, he said U.S. strikes would resume if negotiations failed while Iran issued similar comments about retaliation.<\/p>\n
\u201cWhile flows of vessels through the Strait of Hormuz remain low, the market hopes the situation improves based on new talks between Oman and Iran on a new mechanism for Hormuz,\u201d said UBS analyst Giovanni Staunovo.<\/p>\n
In other commodities, spot gold fell 0.8 per cent to US$4,042.29 an ounce. U.S. gold futures for August delivery lost 0.8 per cent to US$4,042.80.<\/p>\n
Currencies and bonds<\/p>\n
The Canadian dollar strengthened against its U.S. counterpart.<\/p>\n
The day range on the loonie was 70.76 US cents to 70.89 US cents in early trading. The Canadian dollar was up about 0.55 per cent against the greenback over the past month.<\/p>\n
The U.S. dollar index, which weighs the greenback against a group of currencies, fell 0.03 per cent to 101.430. The dollar was pegged at $1.4117. <\/p>\n
The euro declined 0.08 per cent to US$1.1359. The British pound slipped 0.05 per cent to US$1.3280.<\/p>\n
In bonds, the yield on the U.S. 10-year note was last down at 4.622 per cent.<\/p>\n
Economic news<\/p>\n
8:15 a.m. ET: U.S. ADP employment report<\/p>\n
8:30 a.m. ET: U.S. goods trade deficit for June. Consensus is $100-billion<\/p>\n
8:30 a.m. ET: U.S. wholesale and retail inventories for June<\/p>\n
9 a.m. ET: S&P Cotality Case-Shiller home price index and the FHFA house price index<\/p>\n
10 a.m. ET: U.S. Conference Board consumer confidence index for July<\/p>\n
With Reuters and The Canadian Press<\/p>\n","protected":false},"excerpt":{"rendered":"Equities World stocks fell as investors dumped chipmakers on concerns about Chinese competition and funding of the AI…\n","protected":false},"author":2,"featured_media":831187,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[3244,49,48,3245,3237,3240,2640,3242,3246,166,3247,44,3241,3239,3243,3238],"class_list":["post-831186","post","type-post","status-publish","format-standard","has-post-thumbnail","category-canada","tag-bonds","tag-ca","tag-canada","tag-canadian-dollar","tag-dow-jones","tag-equities","tag-futures","tag-gold","tag-loonie","tag-nasdaq","tag-newnewsletter","tag-news","tag-oil","tag-sd","tag-silver","tag-tsx"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/831186","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=831186"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/831186\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/831187"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=831186"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=831186"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=831186"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}