Stock market: what moves on the markets before the opening Tuesday

The publication of US employment figures for August forces the markets to be cautious. (Photo: Getty Images)

The New York Stock Exchange points to an opening in sharp decline Tuesday morning, in reaction in particular to the prolonged fall in technology stocks.

Wall Street was in sharp decline before the opening. Depending on the futures contracts, the S&P 500 was down 1.15%%, to 3378 points, and the Nasdaq yielded 2.99%, to 11,201 points, while the Dow Jones gleaned 0.58%, at 27,905 points.

European markets were also in the red. The CAC 40 in Paris fell 1.66% to 4,969.23 points. In London on FTSE 100 yielded 0.67%, to 5897.48 points. At the Frankfurt Stock Exchange, the DAX was down 1.33% to 12,926.36 points.

After a three-day long weekend due to a bank holiday Monday in the United States, investors were waiting to see the reaction from Wall Street, which had declined sharply in the last two sessions of the previous week.

“Tech companies continue to be liquidated today, fears of a bubble valuation combined with profit taking following a strongly bullish summer, continue to lower market sentiment, ”explains Pierre Veyret, technical analyst at ActivTrades.

The major Asian stock markets closed higher on Tuesday, Tokyo having been encouraged by the surge in European markets the day before while Chinese markets were little moved by new threatening statements from Donald Trump towards Beijing.

In Tokyo, the star index Nikkei gained 0.8% to 23,274.13 points and the extended Topix index rose 0.69% to 1,620.89 points.

Support from high gains Monday on European stock markets offset a much larger-than-expected drop in household consumption in Japan in July (-7.6% over one year), according to figures released Tuesday.

In addition, the historic collapse of Japanese GDP in the second quarter was revised Tuesday to 7.9% compared to the previous quarter, against an initial estimate of 7.8%.

On the oil side

Oil prices continued to decline on Tuesday, hitting new lows in more than two months, penalized by fears about the level of demand for black gold.

At around 9:20 a.m. GMT, a barrel of North Sea Brent for November delivery was worth $ 41.41 in London, down 1.45% from Monday’s close earlier than usual due to ‘a public holiday in the United States.

In New York, the US barrel of WTI for October lost 3.52% to 38.38 dollars.

At around 8:45 a.m. GMT, Brent and WTI fell to $ 41.21 and $ 38.18, respectively, levels most seen since late June.

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