Opening Bell: Futures, Stocks Drop On Growth Worries; Treasury Rally Extends – Investing.com
- Date: 19-Jul-2021
- Source: Investing.com
- Sector:Financial Markets
- Country:Gulf
Opening Bell: Futures, Stocks Drop On Growth Worries; Treasury Rally Extends – Investing.com
Unease persists that coronavirus and inflation will disrupt the recovery
Oil fell below $70 on OPEC+ deal
Dollar strength sees gold slide
Key Events
US futures contracts on the , , and and stocks in Europe retreated Monday on concerns that the global economic recovery will fizzle out due to a resurgence of coronavirus via the fast-moving and highly contagious Delta variant, along with increased inflation. This anxiety weighed on markets during Friday's trade and persisted over the weekend. That may be a sign that this view is beginning to gain traction.
Oil fell after an OPEC+ breakthrough deal to increase supply; the dollar accelerated.
Global Financial AffairsAll four US futures were in the red, with those on the Russell 2000 1.8% deep, while NASDAQ contracts were outperforming, down just 0.6%. Since the small cap index is the focal point of stocks likely to benefit the most from a return to a normal economy, and technology firms see more profit during social restrictions, today’s trading pattern demonstrates a continued retraction of the reflation trade.
The pandemic weighed on European investors’ minds, as travel and leisure shares, along with basic resources, were the heaviest drag on the Index, which extended a