www.TheLFB-Forex.com The Forex Trader Portal

Current Futures: Dow -75.00, S&P -10.40, NASDAQ -12.00

The row of weaker than expected quarterly results continued for a second consecutive day on Tuesday, something that was reflected in the market’s valuation. On top of this, the Conference Board confidence index fell for a second consecutive month in July, which, to some extent does not justify some of the recent projections that the economy will bounce back to a growth phase in the current quarter. 

Moreover, the Conference Board confidence report has strong implications onin the financial market, since consumer spending drives two thirds of the economy, is driven by consumers’ spending, and it is a known fact that uncertain consumers tend to think more ofat their financial security and therefore reduce their expenses, TheLFB-Forex.com Trade Team said. 

For now, the S&P 500 is trading slightly above a trend-line that has held the index for the last two weeks of trading, after it lost 10 points, or a little more than 1% during Tuesday’s cash session. The worst performing company in the S&P 500 was Office Depot, which disappointed the market after reporting a $0.22 loss per share, much more than expected. On the other hand, the airplane maker Textron surged 14%, after it reported a $0.08 profit, even though the market expected a net loss. However, at this point, every sector in the U.S. market is trading in the red. The biggest declines could have beenwere seen in the basic materials sector, as crude oil and gold had the worst intra-day performance of the last few weeks of trading. The financial sector also posted substantial declines, even though on Monday, this sector was the best performing during both the overnight and the U.S. markets.

Treasuries rose, while yields declined on Tuesday reflecting the decline seen in the equity market. Yield on the 10-year note declined 3.3 basis points to 3.701%.

The Dow Jones Index fell 73.76 points (0.81%) to 9,034.75, while the S&P 500 index slipped 10.18 points (1.04%) to 972.00

Crude oil for August delivery was recently trading at $66.80 per barrel, lower by $1.50. 

Gold for August delivery was recently trading lower by $15.10 to $941.20. 

TeamLFB provides forex related market analysis and trade signals