US stocks inched lower from record highs yesterday as Energy stocks gave back some of the previous sessions strong gains. The S&P 500 closed marginally weaker as losses in Financials and Energy companies offset gains in Utilities and Consumer Staples stocks.
Oil prices retreated almost 1% yesterday following Monday’s 3.5% gain, but remain within touching distance of $64 per barrel, a level it breached on Monday for the first time in two years.
Currencies that tend to exhibit relatively strong correlations with oil prices, notably the Canadian dollar and Norwegian krone, both ticked lower against the dollar. The dollar index, a measure of the greenback against a basket of peers, rose 0.2% yesterday.
European equities closed lower yesterday amid a batch of weak corporate earnings. The Euro Stoxx 50 index fell 0.6%, the UK’s FTSE 100 lost 0.7% and the German DAX closed 0.9% lower.
Danish jewellery maker Pandora provided weak guidance for the important holiday quarter; online clothing operator Zalando similarly provided weak guidance as increased logistics investments will weigh on margins; Danish shipping firm Moller-Maersk lowered guidance following disturbances from a cyber-attack.
Asian equity market moves overnight were relatively muted. Japanese stocks finished marginally lower and remain within touching distance levels not previously touched since 1992.