Trump and North Korea tensions weigh on stocks

Trump and North Korea tensions weigh on stocks

Trump and North Korea tensions weigh on stocks

The billionaire warned on LinkedIn that investors should have 5% to 10% of their assets in gold because "risks are rising".

"We've had some competing forces play out over the past 12 hours - the USA dollar was stronger off economic data, but that was quickly reversed with President Trump's comments about North Korea earlier today (Wednesday)", said ANZ analyst Daniel Hynes.

FIRE AND FURY: Keeping up his tough talk, Trump told reporters that North Korean leader Kim Jong Un's government should "get their act together" or face extraordinary trouble, and suggested his earlier threat to unleash "fire and fury" on North Korea was too mild.

Amid the hot rhetoric, US stocks sold off sharply on Thursday, with the S&P 500 falling more than 1 percent.

The Nasdaq, Wall Street's home to many high profile tech companies, finished the day down more than 2%. The slide deepened after Trump's remarks on North Korea aired.

The yen tends to benefit during times of geopolitical or financial stress as Japan is the world's biggest creditor nation and there is an assumption that Japanese investors there will repatriate funds should a crisis materialise.

"Exposure to the Swiss franc and Japanese yen perhaps best comes through ownership of global stock and bond market funds, or through currency Liquidity funds".

Two big retailers saw their shares fall rapidly after they announced results this morning. But Mellor notes the rhetoric has reached a "different level".

Money no object for City, but Guardiola must deliver
Newcastle have been one of giants of English club football with one of the biggest fan bases in the country. Ederson believes his compatriot Gabriel Jesus is set for an exciting first full season with the Blues, too.

Declines in USA stocks accelerated Thursday, a pullback that many investors and analysts said was overdue with indexes at highs and volatility at record lows. The closely-watched fear gauge at 16.04 - it's highest since mid-May. The euro zone's version is at its highest since April, when France's election was rattling the region.

Excluding energy and food prices, core PPI fell by 0.1% month-on-month, while analysts anticipated the index to rise by 0.1 percentage points to 0.2%.

Buying interest was somewhat subdued, however, as the ever-escalating war of words between President Donald Trump and North Korea continued to raise geopolitical concerns.

'Of course, it's all come at a time when share markets are due for a correction, so North Korea has provided a flawless trigger'.

The dollar was down 0.53% against the yen at 109.48 yen, after briefly dropping as low as 109.53. 'Pretty remarkable, perhaps even extraordinary, considering, ' said Tim Ash, strategist at fund manager BlueBay. Lockheed Martin, Raytheon, General Dynamics and Northrop Grumman all rose and the Dow Jones US defense index was up 1.6% after hitting a record high.

Spot gold fell 0.2 percent to $1,275.10 per ounce at 0058 GMT.

Shortly after this announcement, North Korea said it was "carefully examining" the idea of a missile strike on Guam, a U.S. Pacific territory, Reuters reported citing the North's state-run KCNA. The VIX fell to a new intraday low in late July.

Oil service stocks showed a significant move to the downside on the day, dragging the Philadelphia Oil Service Index down by 1.9 percent.

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