U.S. stocks halted a two-day advance as a rally in crude faltered and Treasuries erased losses, providing a fresh signal that China-fueled turmoil on financial markets has yet to fully subside.
The Standard & Poor’s 500 Index extended declines after European markets closed modestly higher. The yield on the 10-year Treasury note fell to 2.09 percent, while gold erased losses to trade above $ 1,090 an ounce. Oil was little changed at $ 30.50 a barrel. Emerging-market rose after closing at the lowest level in six years, while Asian stocks rebounded from a three-year low on Chinese trade data.
The S&P 500 fell 0.5 percent at 12:04 p.m. in New York, with losses extending after Europe’s markets closed at 11:30 a.m. The gauge opened higher by as much as 0.6 percent. It’s now down more than 5.5 percent this year after slipping 0.7 percent in 2015.
Japanese stocks fell for a second day as a global equities rally faltered amid concern over China’s economy. Iron and steel producers led losses.
Oil explorer Inpex Corp. lost 2.7 percent as crude traded near a one-week low. Nikon Corp. dropped 5.3 percent after a report the camera maker will post a 27 percent drop in operating profit in the six months ended September. Silicon wafer maker Sumco Corp. slumped 7.7 percent after Mizuho Financial Group Inc. cut its share price target. Movie producer Toho Co. gained 3.9 percent, the most on the Nikkei 225 Stock Average, after boosting its operating profit forecast.
The Topix index dropped 2.2 percent to 1,470.83 at the close in Tokyo, with about nine shares falling for each that rose. The Nikkei 225 declined 1.9 percent to 17,891. The yen traded at 119.69 per dollar after strengthening for the past two days. Commodity-related stocks led the MSCI All-Country World Index lower for a second day, following nine days of gains, after data on Tuesday showed Chinese imports fell for an 11th straight month.