US stocks fall on tech jitters, China trade fear

Bloomberg

US stocks were lower, reversing gains from late last week, as investors grew pessimistic about escalating trade tensions between the Trump Administration and China. Treasuries declined, the dollar steadied and gold fell.
All major US equity benchmarks fell, led by the Nadaq 100 Index as tech shares slumped. Apple Inc. sank 2.3 percent following reports that it had cut production orders for the three iPhone models it unveiled in September. Crude slid below $56 a barrel, weighing on energy stocks.
The Stoxx Europe 600 Index rose slightly despite a plunge in Renault following misconduct allegations against the carmaker’s leader, Carlos Ghosn. Equities posted modest increases in Tokyo, Hong Kong, Shanghai and Taiwan. European bonds mostly edged lower, with Italian securities erasing an earlier gain made after Deputy Premier Luigi Di Maio said his government is ready for dialogue with the European Commission over the country’s budget.
The pound fluctuated as Theresa May appealed to business leaders to help deliver her Brexit deal and Gibraltar emerged as a fresh sticking point.
Investors are reassessing markets after several weeks of volatility spurred by fears of trade conflicts The Asia-Pacific Economic Cooperation failed to agree on a joint statement for the first time in its history, and US Vice President Mike Pence attacked China at a weekend summit, quashing optimism that relations would improve at Group-of-20 meetings starting next week.
In addition, rising US interest rates are pushing up financing costs and threatening global growth.
Elsewhere, the Australian and New Zealand currencies slipped after Pence’s remarks. In commodities trading, oil futures languished below $57 a barrel in New York following the recent slump into a bear market. Bitcoin dropped further below $6,000, touching a one-year intraday low.
Bank of England Governor Mark Carney appears before parliament on Tuesday. It’s a shortened trading week because of the Thanksgiving holiday in the US on Thursday. In addition, Black Friday, the day after Thanksgiving, marks the traditional start to the US holiday shopping season.
The S&P 500 Index was down 0.2 percent in New York, while the Nasdaq 100 fell 0.8 percent. The Stoxx Europe 600 Index increased 0.3 percent. The UK’s FTSE 100 Index climbed 0.7 percent. The MSCI All-Country World Index was little changed.
The Bloomberg Dollar Spot Index rose 0.1 percent. The euro gained 0.1 percent to $1.143 The British pound was essentially unchanged at $1.2837. The Japanese yen was flat at 112.84 per dollar.
The yield on 10-year Treasuries jumped two basis points to 3.08 percent, the first advance in a week. Britain’s 10-year yield decreased one basis point to 1.428 percent.