US stocks fall, bonds rise as China weighs on technology

Bloomberg

US stocks declined as weak Chinese trade data spurred concerns about slowing global growth. Treasuries rose and the dollar edged lower.
The S&P 500 fell after rising for a third straight week, led by technology shares after slumping Chinese exports fuelled concerns about the growing impact of the US-China trade war on global growth. PG&E plunged after the utility said it will file for bankruptcy in California and its chief executive officer will exit. Citigroup advanced after reporting earnings.
The 10-year Treasury yield dropped for a second session. In Europe, the Stoxx Europe 600 Index snapped four days of gains, dragged lower by
technology companies. The euro fell against the dollar even as data showed industrial output slowed, while the pound was steady before Tuesday’s crucial vote on Brexit.
This month’s buoyancy in global equities, triggered by signs of progress in US-China trade talks and dovish commentary from Federal Reserve officials, faces a test with the Chinese data underscoring the impact of the trade spat.
The next hurdles to clear will be a slew of US bank profit reports and earnings season, amid worries global growth is slowing. Also weighing on sentiment is the partial US government shutdown that’s entered its fourth week.
Elsewhere, West Texas Intermediate crude traded near $51 a barrel. Emerging market currencies and shares dipped. Japan was closed for a holiday.
Some of the world’s biggest banks announce earnings, including JPMorgan, Bank of America, Wells Fargo, Morgan Stanley and Goldman Sachs. Alcoa, Indian IT company Mindtree, Netflix, Taiwan Semiconductor, American Express and BlackRock also post results.
The S&P 500 Index declined 0.7 percent in New York. The Stoxx Europe 600 Index fell 0.6 percent, the first retreat in a week. The MSCI All-Country World Index decreased 0.3 percent, the first retreat in more than a week. The MSCI Emerging Market Index sank 0.9 percent, the biggest dip in more than a week.
The Bloomberg Dollar Spot Index decreased less than 0.05 percent. The euro dipped 0.1 percent to $1.1461. The Japanese yen rose 0.3 percent to 108.21 per dollar.
The British pound was steady at $1.2842. The MSCI Emerging Markets Currency Index sank 0.3 percent.
The yield on 10-year Treasuries decreased one basis point to 2.69 percent, the lowest in more than a week. Germany’s 10-year yield decreased two basis points to 0.21 percent, the lowest in more than a week. Britain’s 10-year yield decreased three basis points to 1.257 percent, the lowest in more than a week.
The Bloomberg Commodity Index decreased 0.1 percent. West Texas Intermediate crude fell 0.9 percent to $51.15 a barrel. Gold increased 0.2 percent to $1,291.50 an ounce.