Asian, European, and U.S. stocks all declined on Wednesday morning as investors continued to express concern over China’s struggle to make a smooth post-pandemic economic recovery.
In the United States, futures on the S&P 500 and the Dow Jones Industrial Average both fell by 0.2%, while those on the Nasdaq 100 declined by 0.3%. European stocks faltered as well, with the pan-European Stoxx Europe 600 index heading towards its lowest close since March following a 0.2% decline.
The MSCI Asia Pacific Index plunged 1.3% after China reported its weakest purchasing managers’ index since December. Hong Kong’s Hang Seng Index slipped by 0.2%.
Commodities were also heavily affected, with copper extending its worst monthly loss over the past year and iron ore falling further below $100 per ton. This comes as China’s slowing manufacturing activities raise questions regarding demand.
The Bloomberg Spot Dollar Index rose 0.3%, with the euro falling 0.6% to $1.0671. The British pound fell 0.4% to $1.2363, while the offshore yuan fell 0.4% to 7.1221 per dollar.