Yesterday’s market bounce appears to have been short-lived with stock markets around the world and cryptocurrencies resuming their retreat. US treasury yields are steady today and the US Dollar is down 0.1%-0.4% against the Loonie, Euro, and Gold, suggesting that today’s downturn may also partly be investors taking some money off the table ahead of the holiday season which runs for the next two weeks.
NASDAQ futures are down 1.4% this morning, while S&P futures are down 0.9% and Dow futures are down 0.6%. In Europe, the Dax is down 1.3% and the FTSE is down 1.0%. In Asia Pacific trading, China and Japan were quiet but Australia lost 1.2% and India lost 1.5%. Cryptocurrency trading also suggests decreasing risk appetite with Bitcoin down 1.6% and trading back under $95,000, while Ether is down 3.1%. In commodity action, US Crude Oil is down 0.2%, Natural Gas is up 2.6%, and Copper is steady.
Novo Nordisk is down 19.7% premarket this morning on news of disappointing clinical trial results for its CagriSema product. Weight loss drug competitor Eli Lilly is up 7.1% premarket. The last big day for earnings news of the year has been a mixed bag in terms of results and market reaction. FedEx beat the street and is up 7.5% premarket. Nike beat expectations but is down 7.2% premarket after the company’s guidance suggested the potential for deeper sales declines than previously thought. Recreational vehicle producer Winnebago is down 3.8% premarket following a big miss on earnings.
In economic news, US Core PCE inflation was slightly better than expected (2.8% vs street 2.9%), Canadian retail sales were slightly worse than expected (0.6% vs street 0.7%) as were UK retail sales (0.5% vs street 0.8%).