Stocks struggled to make headway on Wednesday, with the dollar clinging to losses and bonds clinging to gains as signs of a slowing U.S. labor market made investors jittery about the economic outlook
Global stock markets stumbled on Wednesday as signs that the economic outlook was weakening prompted caution, while a higher-than-expected interest rate hike from New Zealand lifted the Kiwi dollar.
European shares fell, with the broad STOXX 600 retreating from Tuesday’s one-month highs. U.S. stock futures fell and Japan’s Nikkei fell 1.6%, its biggest one-day percentage decline since mid-March.
MSCI’s world stock index further retreated from Tuesday’s near seven-week highs, while Asian trade was thinned by holidays in Hong Kong and China.
Weak U.S. economic data this week exacerbated recession fears and dented recent stock market gains.