Stocks Drop After Mnuchin Remarks on Stimulus

Stocks fell after Treasury Secretary Steven Mnuchin said that getting a stimulus deal done before the Nov. 3 election will be difficult. While there’s been progress on certain issues, Mnuchin said stimulus talks are still far apart on others. House Speaker Nancy Pelosi had a “productive” talk about potential stimulus with the Treasury Secretary this morning, according to her spokesman, who added they will will speak again Thursday.

“It’s important we get something done, but it’s not fatal for the economy if we don’t get something right way, it just means things will be slower,” said Keith Lerner, chief market strategist at SunTrust Advisory Services. “We’re in a little bit of a digestion, it’s early on earnings. We just have a short-term tug of war as markets brace to get a better picture of the earnings story.”

These are some of the main moves in markets:

Stocks

The S&P 500 fell 0.6% as of 12:04 p.m. New York time.The Stoxx Europe 600 Index was little changed.The MSCI Asia Pacific Index was little changed.

Currencies

The Bloomberg Dollar Spot Index decreased 0.2%.The euro advanced 0.1% to $1.1755.The British pound increased 0.7% to $1.303.

Bonds

The yield on 10-year Treasuries fell one basis point to 0.72%.Germany’s 10-year yield dipped two basis points to -0.58%.Britain’s 10-year yield decreased two basis points to 0.221%.

Commodities

The Bloomberg Commodity Index advanced 0.2%.West Texas Intermediate crude increased 1.5% to $40.82 a barrel. Gold strengthened 0.9% to $1,907.55 an ounce.

Stocks Drop After Mnuchin Remarks on Stimulus: Markets Wrap, Bloomberg, Oct 14