Oil extends losses as US rig count rises
Global stocks fluctuate after Friday plunge, dollar rises
US stocks fluctuated after early losses, while European and Asian equities slumped. Treasuries and the dollar stabilised. Oil fell and copper rose.
S&P 500 Index and Dow Jones Industrial Average each fell more than 1 per cent at the open Monday, before a technology rally pulled them back up somewhat. The Stoxx Europe 600 Index retreated for a sixth day, its longest losing streak since November, following similar moves across Asia as both regions took their cue from the US rout on Friday. Yields on core government bonds in Europe fell, while those of 10-year Treasuries edged higher. The pound slumped after data and the euro saw its biggest decline in almost three weeks.
Equity investors are looking for confirmation that recent declines represent the healthy correction many had expected after the stellar start to the year. The downward move was sparked by US wage data on Friday that pointed to quickening inflation, which would lead to higher rates and, in turn, rising borrowing costs for companies.
Elsewhere, oil extended declines after US explorers raised the number of rigs drilling for crude to the most since August. Copper hit a three-week high. Bitcoin slid below $7,500.