European stocks climb, US futures rebound after selloff

Bloomberg

European stocks rise with US equity futures as optimism crept into markets that Tuesday’s tumble drew a line under the recent selloff.
Shares climbed broadly in Europe while AstraZeneca Plc slipped on news it paused trials of a leading experimental Covid-19 vaccine when a participant got sick. S&P 500 and Nasdaq 100 contracts advanced in the wake of large declines in America that were led by tech shares. On Wednesday, computer chip and hardware makers rose in the premarket including Advanced Micro Devices Inc. and Apple Inc.
Treasuries and the dollar erased their increases as equity futures strengthened. The pound headed for its longest declining streak since March on worries that talks could collapse over changes to the Brexit withdrawal deal.
Nasdaq 100 may find buyers entering at around 50-day moving average
Global investors are grappling with the recent market turbulence, assessing whether the pullback for equities is a sign of market health or the start of a larger drawdown that has further to go. There was a powerful force of resistance across assets from the Nasdaq to gold and even Tesla Inc. shares, with slides halting around their 50-day moving averages.
“We don’t know exactly if this is the bottom, there could be more volatility,” Laila Pence, president of Pence Wealth Management, said on Bloomberg TV. “We’re taking the froth out of the market.”
Elsewhere, crude oil climbed above $40 a barrel in London. Yields on New Zealand’s
three-year bonds dropped into negative territory for the first time.
Futures on the S&P 500 Index increased 0.6% as of 9:48 am London time and the Stoxx Europe 600 Index climbed 0.6%.
While Germany’s DAX Index gained 0.9%, the MSCI Asia Pacific Index fell 1%.
The Bloomberg Dollar Spot Index increased 0.1% and the euro declined 0.1% to $1.1767.
While the Japanese yen was little changed at 105.99 per dollar, the British pound fell 0.3% to $1.2948.
The yield on 10-year Treasuries dipped less than one basis point to 0.67% and Germany’s 10-year yield declined one basis point to -0.50%. Britain’s 10-year yield decreased less than one basis point to 0.187%.
While West Texas Intermediate crude gained 1.9% to $37.47 a barrel, gold weakened 0.1% to $1,929.67 an ounce.