By Herbert Lash and Marc Jones
NEW YORK / LONDON (Reuters) – Global stock indices and U.S. Treasury yields fell on Tuesday as low trading volume, a pause in economic news and the lack of a catalyst led to a sell-off. of investors concerned that the improvement in the markets is limited.
* The Nasdaq, with a strong technology component, fell to 2.7%, marking its biggest daily decline in six weeks, while the return of the 10-year Treasury bond fell to a low of 1.557%, a movement that would normally underpin to technology stocks.
* Palladium prices soared to record highs, fueled by concerns about tight supplies of the metal as demand gradually improves.
* The Refinitiv / CoreCommodity CRB Index traded near three-year highs as commodity prices continue to climb as investors gamble on rising demand as economies reopen. The rise in the prices of basic resources has led to talk of a rebound in inflation.
* As investors sold stocks they bought government debt, driving up Treasury prices and dropping yields.
* “There is not much conviction among traders about which direction markets should take from here,” said Patrick Leary, chief market strategist and senior trader at Incapital. “We have internalized a great deal of reopening optimism.”
* MSCI’s benchmark for global equity markets lost 1.23%.
* On Wall Street, the Dow Jones Industrial Average was down 0.5%, the S&P 500 was down 1.29% and the Nasdaq Composite was down 2.72%.
* In currency markets, the dollar was recovering some ground to partially undo last month’s long decline, as investors squared their positions ahead of employment data to be released on Friday.
Continue reading the story
* The dollar index was up 0.314%, while the euro was down 0.38% at $ 1.2015. The yen weakened 0.22% against the dollar to 109.31 units per dollar.
* Meanwhile, oil prices rose after more states in the United States eased restrictions related to the pandemic and the European Union sought to attract travelers, although growing cases of COVID-19 in India limited the increases.
* Brent futures were up $ 1.22 at $ 68.78 a barrel. US crude futures were up $ 1.12 to $ 65.61 a barrel.
(Report by Marc Jones, Edited in Spanish by Manuel Farías)