Global Stocks Pressured by Metals Prices
24 November 2015 - 9:00PM
Dow Jones News
Global stocks were mostly lower Tuesday, pressured by falling
metals prices and some downbeat economic data.
The Stoxx Europe 600 was down 1% in early trade, following
Monday's losses in the U.S. and some disappointing earnings reports
Tuesday.
Prices for base metals such as copper remained near multiyear
lows following losses on Monday, when they were hit by the dual
headwinds of a stronger dollar and fears about lower demand.
Mining companies dragged on Asian indexes, with Australia's
S&P ASX 200 falling 1% and Hong Kong's Hang Seng Index down
0.4%. Japan's Nikkei Stock Average rose 0.2% as it reopened from a
holiday.
Wall Street closed lower Monday in light trading ahead of the
Thanksgiving holiday.
In currencies, the euro was up slightly against the dollar at
$1.0640, despite data showing the German economy slowed in the
third quarter.
The dollar was down 0.2% against the yen at ¥ 122.66.
In commodities, Brent crude oil was up 0.9% at $45.25 a barrel
following suggestions on Monday that Saudi Arabia might cut oil
production.
Gold was up 0.4% at $1,071, after nearing a 5½ -year low.
Later Tuesday, investors will parse a reading on U.S.
third-quarter growth as the Federal Reserve inches towards its
first interest rate increase in nearly a decade.
"A strong number could be the final piece of the puzzle needed
for the Fed to begin its rate hike in December," said Farbod Mimeh,
a dealer at London Capital Group.
On Monday, Fed Chairwoman Janet Yellen said she and her
colleagues expect more improvement in the labor market and for
inflation to move toward the Fed's 2% goal.
"If that is the case, my colleagues and I have indicated it will
be appropriate to begin to normalize interest rates," she wrote,
adding "most of us expect the pace of that normalization to be
gradual."
Write to Riva Gold at riva.gold@wsj.com
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(END) Dow Jones Newswires
November 24, 2015 04:45 ET (09:45 GMT)
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