Wall St pressured by negative headlines

Trading has been choppy today, but US stocks show no sign of panic yet.

There are declines on Wall Street for a third successive day, though once again the magnitude of the losses were only very modest by early afternoon, with the Dow Jones down 0.22% or 36 points at 16,315 and the S&P 500 off 0.20% at 1864.0.

We’ve seen some big slides in copper following signs of weakness in the Chinese economy and the on-going Ukrainian territorial dispute with Russia is nibbling away at confidence, which has contributed to reasonably significant retreats in global stock indices, but the US stock market is still showing no evidence of panic and only the barest indications of negative sentiment coming into the ascendancy.

One conclusion might be that US investors feel sufficiently insulated from external economic or geo-political shocks; another could be that the market is just biding its time until we get a look at tomorrow’s retail sales data.

Capital flows into safe havens has continued, with the yen advancing against the dollar for the third day straight, while gold and silver both boast significant gains today. US crude oil futures have plunged more than 2% after the US Energy Department revealed a huge build in crude supplies last week.

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