_edited_edited.png)
Markets Update: European markets ended the day down by 0.5%, following a record high the day before. U.S. markets faced pressure due to disappointing economic data. Meanwhile, gold prices fell to a two-week low as the dollar strengthened.
Global Markets Roundup: 27 Feb 2025
Equity Markets
European markets closed 0.5% lower, following a record high the previous day. U.S. markets faced pressure from disappointing economic data, while gold prices declined to a two-week low due to a stronger dollar.
Major Wall Street indices were mixed as new U.S. economic data impacted sentiment, and European stocks fell following President Trump's threat to impose 25% tariffs on imports from the region. Data showed jobless claims at 242,000, higher than the estimated 221,000.
MSCI's global stock gauge fell 0.44%. The Dow Jones Industrial Average rose 0.45% to 43,628.06, the S&P 500 declined 0.23% to 5,942.52, and the Nasdaq Composite dropped 0.89% to 18,906.11. The STOXX 600 index closed down 0.5%, impacted by automaker and component maker shares due to potential tariffs. Emerging market stocks fell 1.05% to 1,123.50.
Shares of Nvidia experienced losses as investors focused on increased AI spending in the industry following their earnings report. Trump created confusion regarding impending duties on Canada and Mexico by signaling an extension of the deadline, which was later clarified by a White House official to remain unchanged. Additionally, Trump proposed a 25% "reciprocal" tariff on European cars and other goods.
Currencies
In the foreign exchange market, the U.S. dollar strengthened in recent weeks, with the dollar index (DXY), which measures the greenback against a basket of currencies, rising 0.69%. The euro dipped slightly, and benchmark U.S. Treasury yields increased following the data. The dollar index (DXY) gained 0.65% to reach 107.14, marking its largest daily percentage gain since January 2.
The euro EURUSD fell by 0.65% to $1.0415. The Canadian dollar (USDCAD) weakened by 0.62% against the greenback, trading at C$1.44, while the Mexican peso (USDMXN) decreased by 0.17% to 20.482 per dollar.
The Japanese yen USDJPY also weakened by 0.52% to 149.85 per dollar. Bank of Japan Governor Kazuo Ueda remarked at the conclusion of a Group of 20 finance meeting in South Africa that numerous countries expressed concerns about high global economic uncertainty.
The British pound (GBPUSD) declined by 0.36% to $1.2627. Meanwhile, cryptocurrency bitcoin (BTCUSD) fell by 0.31% to $84,191.44, following a nearly 12% drop over the first three days of the week.
Commodities
In the commodities market, Oil prices surged over 2% due to renewed supply concerns following the revocation of Chevron's license to operate in Venezuela by President Trump. WTI settled 2.5% higher at $70.35 per barrel, while Brent Crude increased by 2.1% to $74.04 per barrel. Spot gold saw a two-week low, pressured by the stronger dollar, with U.S. gold futures settling 1.2% lower at $2,895.9.
In the agricultural commodities market, the Chicago Board of Trade's most-active corn futures (ZC1!) dropped by 12.5 cents, closing at $4.81 per bushel, marking the lowest level since February 3. Wheat futures (ZW1!) declined by 16.75 cents to $5.63 per bushel, after reaching their lowest point since February 4. Soybean futures (ZS1!) decreased by 4 cents, ending at $10.37.25 per bushel.
May ICE NY cocoa (CCK25) increased by +25 (+0.27%), while May ICE London cocoa #7 (CAK25) rose by +3 (+0.04%) on Thursday. However, cocoa prices gains were limited by news of Nigeria's January cocoa exports increasing by +27% YoY to 46,970 MT.
Looking forward refer to the economic calendar below to see the upcoming events scheduled for today and the rest of the week.
General news - Information source from multiple newswires.
The article and the data is for general information use only, not advice!
The Trade Academy Team