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US stocks fall as tech concerns pull down markets




Global stocks dropped Friday, dropped lower with inadequate technology revenue in the US and signaled a return to the negative mood that has dominated markets for most of the week.

After Thursday's rally on Wall Street, US stocks lowered with Dow Jones Industrial Average dropped 1% and S & P 500 lost 1.2%. The tech-heavy Nasdaq Composite, which has been the most volatile this week, opened 2.6% lower.

Earlier, Amazon shares were down 9.3% in US premarket trading, while shares in the Alphabet stood 5.6% and Netflix traded 4.1% lower.

"Yesterday's earnings were disappointing," said Carsten Brzeski, chief economist at ING in Germany. "Amazon is not particularly good for the whole economy, and doubts about the strength of US consumption."

In Europe, Stoxx Europe was 600 1[ads1].3%, with all regional indices lower. Japan's Nikkei 225 closed 0.4% in Japan while Hong Kong's Hang Seng ended the week by 1.1% lower.

The major Asian markets recorded disappointment with some US technology revenue reports that came in after the closing bell, including Amazon and Google's parent letter, "said Mohammed Kazmi, portfolio manager at the Geneva-based Union Bancaire Privée.

"Both [Google and Amazon] missed revenue. A lot of the good news is priced in," said Mr. Kazmi. "Given how nervous the market is currently, it looks for reasons to weaken."

The positive earnings string which helped the index rise recently, seems to have ended, Kazmi said. Investors are now wondering whether the global economy has peaked in terms of growth, he said, and whether the deviation between US and European stocks will continue.

US. Markets will look at the release of gross domestic product numbers from the third quarter later on Friday.

Macro data from the United States [including consumer confidence] may bring some relief, says British Brzeski. "Strong data may cut the correction. Weak data will obviously improve the correction. "

All Stoxx Europe 600 sub-indices, apart from the Tobacco subindex, were in red, with the car and parts sector down 1.9%, among the biggest losers. French car supplier

Valeo
SA

the last trade was 21% lower after its guidance on what it said was an increasingly weak global car market. Bilforetak

Faurecia

Fiat-Chrysler

Continental and Porsche all throw more than 2% each.

Trade tensions continued to weigh on feelings. The US and China have imposed thousands of dollars on each other's products, and downsize the prospects for the many economies and supply chains. The Chinese yuan curled for almost decades down towards the greenback, dropped lower by unresolved trading route.

In Europe, the Italian budget was still a source of investor concern, and the rating agency S & P on Friday was due to the update of the country's credit outlook.

The European Union rejected Italy's budget proposal, drawn by its populist government – the first time the EU has taken such a step. Italy has until the end of the year to pass a budget law.

The yield for 10-year American Treasurys declined to 3.085% from a previous decline of 3.119%. Yields move inverted at prices.

In currencies, the WSJ dollar index, which measures the dollar against a basket of 16 of its peers, increased by 0.1%.

In commodities, Brent crude, the global reference point, dropped 0.9% at 76.22 dollars per barrel. Gold was up 0.4% to $ 1237.60 an ounce.

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Photo:

Mark Lennihan / Associated Press



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