Futures, Stocks Retreat; Euro Slips Ahead of ECB

U.S. equity futures fell along with stocks on Thursday as investors parsed mixed economic data from China and waited for guidance from the European Central Bank over its stimulus program. Treasuries edged higher. Nasdaq 100 futures led declines among the main American equity benchmarks, with Twitter Inc. falling 6% in the pre-market after accounts of some of America’s most prominent political and business leaders were hacked. Tesla Inc. dropped in early trading. The Stoxx 600 Index tracked Asian shares lower after Chinese retail sales in June came in softer than expected.

The euro retreated while most regional bonds climbed ahead of the ECB’s policy decision, where it’s expected to keep its emergency bond-buying program unchanged. President Christine Lagarde will likely face questions over whether the current level of support is sufficient. The slump in tech shares and the reminder of the long road ahead to a full global recovery is quashing optimism seen earlier in the week spurred by progress in developing a coronavirus vaccine. While China is experiencing a modest domestic recovery, it remains vulnerable to setbacks as shutdowns continue to hamper activity across the globe.

Stocks

Futures on the S&P 500 Index decreased 0.8% as of 6:34 a.m. New York time.
The Stoxx Europe 600 Index dipped 0.8%.
The MSCI Asia Pacific Index sank 1.5%.
The MSCI Emerging Market Index sank 1.6%.
Currencies

The Bloomberg Dollar Spot Index jumped 0.3%.
The euro declined 0.2% to $1.1385.
The British pound sank 0.5% to $1.253.
The onshore yuan weakened 0.1% to 6.998 per dollar.
The Japanese yen weakened 0.2% to 107.18 per dollar.
Bonds

The yield on 10-year Treasuries fell one basis point to 0.62%.
The yield on two-year Treasuries declined less than one basis point to 0.15%.
Germany’s 10-year yield declined one basis point to -0.46%.
Britain’s 10-year yield sank three basis points to 0.14%.
Japan’s 10-year yield decreased one basis point to 0.026%.
Commodities

West Texas Intermediate crude fell 1.2% to $40.71 a barrel.
Brent crude dipped 0.8% to $43.45 a barrel.
Gold weakened 0.3% to $1,805.76 an ounce.

Futures, Stocks Retreat; Euro Slips Ahead of ECB, Bloomberg, Jul 16