- S&P 500 Futures print mild losses after the latest declines from 3,576.
- US covid cases jump, China takes one more trade-negative measure for Australia and American keeps Hong Kong crackdown.
- Hopes of vaccine, stimulus probe the risk-off mood.
S&P 500 Futures drop to the intraday low near 3,564 during its recent weakness amid Thursday’s Asian session. The risk barometer’s fresh losses seem to have come from China while the earlier declines may have taken clues from the US. It should be noted that the US equity derivative marked a positive day, on Wednesday, after stepping back from the record high during the early week.
China extends its anti-Aussie bias while indefinitely suspending the Victorian timber logs. The dragon nation has already raised bars for Australian wine, iron ore and barley after the Pacific major favored inquiry alleging the Asian leader’s negligence caused the coronavirus (COVID-19) outbreak.
Earlier in Asia, the US National Security Adviser Robert Charles O’Brien warned China, per The Hill, over its responsibility to trigger freedom violations in Hong Kong.
Also challenging the mood could be the record high covid-led hospitalization in the US, coupled with the record high infections above 100,000.
Not everything is negative as vaccine producers like Pfizer and Moderna and leaping towards final results and stay optimistic to cure the deadly virus. Also, the global central bankers’ recent hesitance in favoring the negative rates and policymakers’ push for the stimulus probe the market pessimists.
Not only the S&P 500 Futures but the US 10-year Treasury yields also drop, by 4.2 basis points (bps) off-late, to 0.947% by press time. Elsewhere, stocks in the Asia-Pacific trade mixed.
Given the light calendar in Asia, global traders will wait for the US players’ return from the holiday to propel the market moves around the key American inflation and jobless claims data. It should be noted that the risk catalysts will keep the driver’s seat though.
Read: Wall Street Close: A mixed day as investors flip bets on covid recovery hopes
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