Stocks fall, gold retreats from record peak amid US election worries
Wall Street stocks end lower
Gold pulls back from all-time high
Dollar index gains
US yields hit three-month highs
Crude prices slip
Adds U.S. market close, analyst comment, oil and gold settlement
By Chibuike Oguh and Amanda Cooper
NEW YORK/LONDON, Oct 23 (Reuters) -Global stocks edged lower on Wednesday amid tepid trading ahead of the U.S. election, while gold prices retreated from record highs, dragged down by gains in the U.S. dollar.
Investors are also rethinking how much the Federal Reserve might need to cut interest rates after the most recent U.S. economic data pointed to an economy that continues to expand and create jobs.
Markets are pricing a 92% chance of a 25-basis-point cut at the Fed's next meeting in November and another 25-bps cut by year-end. A month ago, traders were pricing in as much as a full percentage point in cuts by January. The yield on benchmark U.S. 10-year notes US10YT=RR hit three-month highs and was last up 3.2 basis points at 4.238%.
"This is a classic case of buy the rumor and sell the fact," said Bill Strazzullo, chief markets strategist at Bell Curve Trading in Boston. "Buy the rumor of the rate cuts, and then as you get the rate cut, sell into it."
On Wall Street, all three main indexes finished lower, driven by losses in consumer discretionary, technology and communication services stocks. Real estate and utilities were the biggest gaining sectors.
The Dow Jones Industrial Average .DJI fell 0.96% to 42,514.95, the S&P 500 .SPX fell 0.92% to 5,797.42 and the Nasdaq Composite .IXIC fell 1.60% to 18,276.65.
The MSCI All-World index .MIWD00000PUS lost 0.79%, while in Europe, the STOXX 600 .STOXX finished down 0.30%.
"We'll see what the Fed does if they can handle this the right way and get the soft landing or not. And then, on top of that, obviously you got the election," Strazzullo added, referring to the Nov. 5 U.S. election.
The chances of Republican candidate Donald Trump beating Democratic candidate Kamala Harris have recently edged higher on betting websites, though opinion polls show the race to the White House remains too tight to call.
The prospect of another Trump presidency has been in focus for investors, as his policies include tariffs and restrictions on undocumented immigration, among other measures, which are expected to push up inflation.
"There is an illusion that if Trump wins, you want to buy energy. Energy actually underperformed during the period from 2016 to 2020 (when Trump was president). What did outperform, and people should be buying on that basis, would be industrials like Boeing BA.N, small caps, and, believe it or not, emerging markets and China equities," said Thomas Hayes, chairman at Great Hill Capital in New York.
Gold XAU= retreated after hitting record highs amid gains in the U.S. dollar. Demand for safe-haven gold is partly driven by U.S. election worries and geopolitical tensions in the Middle East and Europe.
Bullion, which has risen 33% this year, was last down 1.19%at $2,715.62 an ounce. U.S. gold futures GCc1 fell 0.1% to $2,741.50 an ounce. It hit a record high of $2,758.37 earlier in the session.
The dollar index =USD, which measures the greenback against a basket of currencies including the yen and the euro, rose 0.26% to 104.37.
Against the Japanese yen JPY=, the dollar strengthened 1% to 152.57. The euro EUR=EBS fell 0.11% to $1.0785.
Goldman Sachs said in a note on Tuesday the euro could fall by as much as 10% in a scenario under which a Trump presidency ushered in hefty tariffs and tax cuts.
Oil prices fell after data showed U.S. crude inventories rose by more than expected even as refining activity rebounded.
Brent LCOc1 crude futures settled at $74.96 per barrel, down 1.42%. U.S. West Texas Intermediate crude futures CLc1 settled down 1.35% at $70.77.
World FX rates YTD http://tmsnrt.rs/2egbfVh
Reporting by Chibuike Oguh in New York and Amanda Cooper in London; Editing by Rod Nickel and Matthew Lewis
To read Reuters Markets and Finance news, click on https://www.reuters.com/finance/markets For the state of play of Asian stock markets please click on: 0#.INDEXA
免责声明: XM Group仅提供在线交易平台的执行服务和访问权限，并允许个人查看和/或使用网站或网站所提供的内容，但无意进行任何更改或扩展，也不会更改或扩展其服务和访问权限。所有访问和使用权限，将受下列条款与条例约束：(i) 条款与条例；(ii) 风险提示；以及(iii) 完整免责声明。请注意，网站所提供的所有讯息，仅限一般资讯用途。此外，XM所有在线交易平台的内容并不构成，也不能被用于任何未经授权的金融市场交易邀约和/或邀请。金融市场交易对于您的投资资本含有重大风险。
所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。
本网站上由XM和第三方供应商所提供的所有内容，包括意见、新闻、研究、分析、价格、其他资讯和第三方网站链接，皆保持不变，并作为一般市场评论所提供，而非投资性建议。所有在线交易平台所发布的资料，仅适用于教育/资讯类用途，不包含也不应被视为适用于金融、投资税或交易相关咨询和建议，或是交易价格纪录，或是任何金融商品或非应邀途径的金融相关优惠的交易邀约或邀请。请确保您已阅读并完全理解，XM非独立投资研究提示和风险提示相关资讯，更多详情请点击 这里。
