Stocks Edge Down With Futures as Earnings Roll In

European stocks edged lower with U.S. equity futures as investors weighed a potential setback on progress toward a coronavirus vaccine ahead of a busy period for corporate earnings. The dollar and Treasuries advanced.

S&P 500 contracts fell as much as 0.6% after a report that Johnson & Johnson’s Covid-19 vaccine study has been paused due to an unexplained illness in a participant. In Europe, banks slumped with travel and leisure shares. Stocks were little changed in South Korea and China, where economic data pointed to further recovery for global trade and a robust domestic rebound.

Oil swung to a gain with workers in the U.S. Gulf heading back following Hurricane Delta’s landfall and Libya taking a major step toward reopening its biggest field.

Markets are pausing for breath a day after the Nasdaq 100 surged to the biggest advance since April, powered by technology leaders including Amazon.com Inc., Apple Inc. and Twitter Inc. Amazon is gearing up for its Prime Day bonanza, and Apple for its event where it’s expected to unveil 5G iPhones. Earnings season also gets underway, with JPMorgan Chase & Co. and Citigroup Inc. reporting.

Stocks

Futures on the S&P 500 Index declined 0.2% as of 9:42 a.m. London time. The Stoxx Europe 600 Index sank 0.2%.The MSCI Asia Pacific Index increased 0.2%.The MSCI Emerging Market Index was little changed.

Currencies

The Bloomberg Dollar Spot Index rose 0.1%.The euro fell 0.1% to $1.1796.The British pound fell 0.2% to $1.3044.The onshore yuan strengthened 0.2% to 6.733 per dollar.The Japanese yen weakened 0.1% to 105.47 per dollar.

Bonds

The yield on 10-year Treasuries fell two basis points to 0.75%.The yield on two-year Treasuries decreased one basis point to 0.15%.Germany’s 10-year yield declined one basis point to -0.55%.Britain’s 10-year yield fell one basis point to 0.261%.Japan’s 10-year yield decreased less than one basis point to 0.03%.

Commodities

West Texas Intermediate crude gained 1.1% to $39.88 a barrel.Brent crude increased 1% to $42.14 a barrel.Gold strengthened 0.1% to $1,923.95 an ounce.

Stocks Edge Down With Futures as Earnings Roll In: Markets Wrap, Bloomberg, Oct 13