Markets

S. Korean shares open lower amid tensions over N

S. Korean shares open lower amid tensions over N

The FTSE 100 index of leading British shares declined 0.6 percent.

The strength on Wall Street was partly due to bargain hunting, with traders picking up stocks at reduced levels following the pullback seen over the past few sessions.

The Standard & Poor's 500 index fell 10 points, or 0.4%, to 2,463. The risk-off tone triggered by the increase in tension between the USA and North Korea yesterday picked back up during today's USA session.

U.S. President Donald Trump, in his latest warning to North Korea, said military solutions were "fully in place" and referred to American weapons as being "locked and loaded" should the nuclear-armed nation act "unwisely". Dillard's, however, posted much weaker-than-expected results, sending the stock down 15 percent.

The Nasdaq Composite, meanwhile, was facing its worst week since the one ended December 2, which logged a loss of just over 2%.

USA stocks moved lower in morning trading Wednesday as traders weighed the growing tensions between the US and North Korea.

Valeant's stock, which rallied a day before following quarterly results, sank 9.6 percent to C$17.85 after it said its subsidiaries in Australia were the subject of a tax audit.

In oil, Brent crude was dragged 0.5% lower at 52.46 United States dollars a barrel despite Opec forecasting increased demand for oil next year.




Damage for the week: The days of verbal sparring between Washington and Pyongyang looks set to bruise weekly performances for the major USA indexes. On the Nasdaq, 1,440 issues fell and 1,386 advanced. I would expect the stock market to react negatively. Its rouble-based peer MICEX shed 1.2 percent to 1,937 points, its lowest since August 1.

MARKETS OVERSEAS: In Europe, Germany's DAX was down 1 percent, while France's CAC 40 fell 1.4 percent.

The Labor Department said its producer price index for final demand edged down by 0.1 percent in July after inching up by 0.1 percent in June. Silver gained 14 cents to $16.39 an ounce. The Russell 2000 index gave up 1.7 per cent to 1,372.54.

Barrick Gold Corp rose 2.3 per cent to C$21.74 as the price of gold, a safe-haven asset, reached its highest levels in two months.

The September crude contract was up 20 cents to US$49.76 per barrel and the September natural gas contract was up seven cents to US$2.95 per mmBTU.

CURRENCIES: The dollar rose to 109.24 yen from 109.20 while the euro weakened to $1.1756 from $1.1773.

Other markets: Asian markets had another tough day (http://www.marketwatch.com/story/asian-markets-extend-selloff-in-face-of-north-korean-crisis-2017-08-10), while the Hong Kong Hang Seng Index and the South Korea Kospi dropped 2.5% and 3.2%, respectively, for the week.