On Friday, the 12th of July 2019, a gauge of global shares had been just a notch shy of posting their first weekly loss since May, as investors had been digesting another set of slanderous China data pointing towards a beginning of an end of global financial expansion.
Meanwhile, the US dollar had been down for three straight days in a row following Wednesday’s (July 10th) FOMC minutes, which had reinforced traders’ belief that a rare US interest rate cut, first of its kind in a decade, would take place as early as this month.
Despite an inexplicable fall in Chinese import and a plunge in exports due to US tariffs, European markets had absorbed a week full of awkward Chinese data and posted a modest gain, as the regional Pan-European STOXX 600 was 0.2 percent up during midday European trading hours.
Aside from that, the MSCI’s index of global shares which keeps track of 49 countries, had wrapped up the day flatlined and broken off a five-week-long streak of gains. Despite all of the odds stemming from China data, Wall Street was expected to open higher, as E-mini futures for S&P 500 index had been up by 0.2 percent during Asian market wrap-up.
Quoting statistics, in Asia, Nikkei was down by 0.15 percent, Hang Seng was up by 0.31 percent, and Bombay Stock Exchange had winded down the day 0.45 percent lower, while in Europe, most of the indices were flatlined except trade-sensitive Frankfurt’s DAX, which posted a plunge of 0.52 percent so far, jolted down by the shares heavily exposed to China.