The recent failure of President’s Donald Trump’s health care reform sends the U.S. stocks future crashing and the dollar inching lower early Monday market. Trump’s health care reform also sends a big chunk of the Asian Market struggling.
The new Trump health care raises more questions than answers; the recent reform evokes doubt on the new administration’s power and ability to push through tax cuts and fiscal spending which in return boosts the country’s economy. The current disapproval of support for the health care reform that “repeal and replaces” the Obamacare health reform.
US Stocks Index Future Down
US stock index futures were down in early Monday, the stock index is currently caught in a six-week in heavy low as it decreases as much as 0.7% just after the bell rings. The European stock index also shows disappointing figures, the unsettling mood also pulls the European stock index to dwindle down somewhere around 0.5% to 0.6%.
Stocks Around The World Feels The Same Turbulence
Japan’s Nikkie also falls a whopping 1.5%, while the yen bounces back amidst the weakening US dollar. Alex Wong, the fund manager at Ample Capital Ltd. in Hong Kong managing something around $130 million said that "Markets have had a good run recently and this is a good opportunity for profit taking across counters,"
Shanghai’s future exchange copper losses momentum, falling 0.7% to 46,680 yuan a ton while the Australian’s benchmark metals and mining index fell abruptly for over 1.7%, making it its lowest since March 14.
While Nicholas Yeo, head of China/Hong Kong equities at Aberdeen Asset Management in Hong Kong said that "Any big pullback in markets would be an opportunity for long-term investment in a region where potential is still intact,” Even with the recent
Dollar Weaker Against Basket of Currencies
The greenback fumbles behind a basket of currencies as the looming uncertainties around the health care reform from the administration; it opens the week’s market nearing to a two-month low. The dollar index dips as much as 0.3% at 99/287 DXY, hitting its peak low for the year since February 2.
The US Treasury yield also opens the week, hitting a near one-month low with the 10-year bonds closing near the 2.37% mark, making it its lowest since February 28 this year.
On the contrary of its January high, where the dollar hits its 14-year high at 104.00 and according to Shin Kadota, senior strategist at Barclays Tokyo said: "There isn't much going for the dollar right now and the market will be bracing for its further decline." The euro traded 0.45% higher at $1.0847 following its strongest rise last December at $1.0849.
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