Buckle up, investors — today everything is falling

U.S. stock indexes dived around 1 per cent and the TSX tumbled on Wednesday as worries over China and the impact of rising Treasury yields on global growth drove falls in luxury goods companies and chipmakers.

Technology stocks slid more than 2 per cent, the most among the 11 major S&P sectors, with the Philadelphia Semiconductor index down 3 per cent after Swiss vacuum valve maker VAT Group said demand from chip equipment makers was softening.

Intel fell 2.6 per cent and Nvidia 4.4 per cent. Chip gear producers Applied Materials, Teradyne and ASML Holdings fell between 3.5 per cent and 4.6 per cent.

All 11 of Canada’s major sectors were down, led by the energy sector’s 1.8 per cent decline. U.S. crude prices were down 0.8 per cent per barrel, while Brent crude lost 0.9 per cent.

Shares in upscale jewellery retailer Tiffany & Co and perfume maker Estee Lauder both fell 7 per cent after a warning from French luxury goods firm LVMH about softening demand in China.

That all played into a market that is increasingly worried about global growth after warnings from the IMF this week and a rise in Treasury yields to a more than 7-year high above 3 per cent that signals a tightening of available capital globally.

U.S. Treasury yields held near multi-year highs after producer prices climbed 0.2 per cent in September, feeding into the pressure on the Federal Reserve to continue to raise interest rates even as the global economy struggles with headwinds from President Trump’s trade war with China.

“The direct concern is higher interest rates,” said Rick Meckler, partner, Cherry Lane Investments, a family investment office in New Vernon, New Jersey.

“People fear building prices into the system, both from China trade problems, other tariffs the U.S. has

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