Stock markets lower, gold price continues to rise amid political tensions
Aug 13 2017 by Johnny Bowman
In U.S. corporate news, department store retailers Kohl's (-8.7%) and Macy's (-4.2%) open sharply lower as continued declines in same store sales overshadow better than expected earnings.
The Nasdaq Composite was down 37.30 points, or 0.59%, at 6,315.03.
The Standard & Poor's 500 index fell 35 points, or 1.4 percent, to 2,438, its biggest drop since mid-May.
"What has changed this time is that the scary threats and war of words between the U.S. and North Korea have intensified to the point that markets can't ignore it", said Shane Oliver, head of investment strategy at AMP Capital in Sydney, as quoted by Reuters. Secretary of State Rex Tillerson later insisted the USA isn't signalling it's about to mete out a military response despite threats from North Korea suggesting it could attack Guam, a US island territory in the Pacific.
Trump had told North Korea to not "make any more threats" to the US or the country "will be met with fire and fury like the world has never seen". The stock fell $169 to $1,879.98.
Other markets: Asian markets had another tough day (http://www.marketwatch.com/story/asian-markets-extend-selloff-in-face-of-north-korean-crisis-2017-08-10), while the Hong Kong Hang Seng Index and the South Korea Kospi dropped 2.5% and 3.2%, respectively, for the week.
Meanwhile, market bellwether Samsung Electronics Co. backtracked 0.65 percent, and top automaker Hyundai Motor was down 0.34 percent.
In currency markets, the Canadian dollar was trading at an average price of 78.71 cents United States, down 0.20 of a USA cent.
Safe-haven assets gained following the rising geopolitical tensions.
May God reward those praying for me - Buhari says in London
In a statement by his Femi Adesina , Buhari confirmed that his health had tremendously improved and wished to return to Nigeria. President Muhammdu Buhari, on Saturday, said falling ill has taught him "to obey orders, rather than be obeyed'".
Marshawn Lynch sits during national anthem
The Cardinals led 17-3 at halftime with both the first and second offensive units scoring. You do your thing.' So it's a non-issue for me". "I can't really comment on it too much".
Benchmark U.S. crude fell 97 cents, or 2 percent, to $48.59 a barrel on the New York Mercantile Exchange. But the market quickly bounced back, led by numerous tech stocks that were sinking on Thursday.
"Whenever dealers hear the word "war" they usually run for the hills, and that is exactly what we have seen today".
To that end, gold prices shot up to near $1,300 an ounce - their highest level in several months.
The data comes amid tepid inflation that has remained below the Fed's 2 percent target, despite low unemployment.
Barrick Gold Corp rose 2.3 per cent to C$21.74 as the price of gold, a safe-haven asset, reached its highest levels in two months.
Stocks are ending broadly lower on Wall Street, led by declines in technology companies and banks, two of the highest-performing sectors over the past year.
The indicated US market moves reflect a selloff across global stock markets Friday.
CURRENCIES: The dollar rose to 109.24 yen from 109.20 while the euro weakened to $1.1756 from $1.1773. Sony Corp. shares in Tokyo dropped 1.6 percent.