Stocks in Asia Fall as Tech Slides; Dollar Drops: Markets Wrap – Bloomberg

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European stocks advanced, overcoming weakness in Asian markets in the wake of a mixed set of economic numbers from China. The dollar fell to the lowest level in two months and U.S. equity-index futures climbed.

The Stoxx Europe 600 Index rebounded from Monday’s retreat as miners and energy companies led gains. Technology shares paced declines on the MSCI Asia Pacific Index after ZTE Corp. in Greater China fell was blocked from buying crucial American technology; its suppliers fell. Equity gauges fluctuated throughout much of the Asian session, with Japan’s Topix closing lower. Taiwan’s tech-heavy benchmark was among the biggest underperformers.

The greenback weakened after U.S. President Donald Trump accused Russia and China of devaluing their currencies, contradicting an assessment from the Treasury Department. Treasury yields ticked higher and West Texas crude futures drifted higher toward $67 a barrel.

While geopolitical concerns linger, investor focus this week is back on corporate earnings and a on slew of Federal Reserve officials who are due to speak, including the incoming head of the New York Fed, John Williams. Meanwhile, China’s economy expanded in line with estimates in the first quarter, retail sales came in stronger than expected in March, while industrial production missed estimates.

Terminal users can read more in our markets live blog.

Here’s what to watch out for this week:

  • Goldman Sachs Group Inc. and Morgan Stanley among companies reporting results
  • John Williams, soon to be president of the New York Fed, speaks on economic outlook in Madrid on Tuesday.
  • Trump welcomes Japan Prime Minister Shinzo Abe to Mar-a-Lago on Tuesday. North Korea and trade will probably be discussed.
  • Mining investors will get to take the pulse of the global industry this week, with Rio Tinto and BHP Billiton offering quarterly production reports.

Here are the main moves in markets:

Stocks

  • The Stoxx Europe 600 Index gained 0.1 percent as of 8:05 a.m. London time.
  • Futures on the S&P 500 Index increased 0.4 percent to the highest in almost four weeks.
  • The MSCI All-Country World Index increased 0.1 percent to the highest in almost four weeks.
  • The U.K.’s FTSE 100 Index climbed less than 0.05 percent.
  • Germany’s DAX Index jumped 0.4 percent.
  • The MSCI Emerging Market Index fell 0.2 percent to the lowest in almost two weeks.
  • The MSCI Asia Pacific Index sank 0.2 percent to the lowest in more than a week.

Currencies

  • The Bloomberg Dollar Spot Index decreased 0.2 percent to the lowest in two months.
  • The euro increased 0.2 percent to $1.2401, the strongest in three weeks.
  • The British pound rose 0.2 percent to $1.4372, reaching the strongest in about 22 months on its eighth consecutive advance.
  • The Japanese yen gained 0.2 percent to 106.92 per dollar.

Bonds

  • The yield on 10-year Treasuries increased one basis point to 2.84 percent, the highest in more than three weeks.
  • Germany’s 10-year yield climbed one basis point to 0.53 percent, the highest in almost four weeks.
  • Britain’s 10-year yield gained one basis point to 1.463 percent, the highest in almost four weeks.

Commodities

  • West Texas Intermediate crude rose 0.7 percent to $66.67 a barrel.
  • Copper dipped 0.2 percent to $3.09 a pound.
  • Gold climbed 0.1 percent to $1,347.86 an ounce.

— With assistance by Sophie Caronello