ICM: Tech Drags stocks lower, Dollar Range-Bound

ICM, the leading London-based FX and CFDs provider, reported that the U.S. stock market finished lower on Monday, weighed down by the weak performance of the tech sector in a choppy trading session. The dollar recovered slightly from yesterday's slip following the retail sales figures.

Major U.S. indices settled lower with the Nasdaq being the worst performer. Apple, Google, Microsoft, and Amazon fell more than one percent. The Nasdaq Composite Index lost 0.9% to 7430, the SPX500 fell 0.6% to 2750, and the Dow Jones Industrial Average erased earlier gains and finished lower at 25250. Investors are still cautious following the sell-off that took place last week. Especially with the fact that the U.S. Treasury yields are still at a multi-year high. The CBOE volatility index, VIX, is still hovering above the 20 level.

ICM highlighted that the dollar index which measures the greenback against a basket of major currencies found support near a twenty-day low of 94.96 and reversed back up to trade at a high of 95.20 during the Asian session. Yesterday, the dollar slipped following the soft retail sales figures of September. The Retail Sales advanced 0.1% only versus an expectation of 0.6%. However, the buck regained strength as the U.S. 10-year treasury yields surged to 3.17% from 3.14%.

The New Zealand dollar climbed to a two-week high against the United States dollar following the inflation figures. The Consumer Price Index rose 0.9% versus an expectation of 0.7%. As per ICM trading platform, the NZDUSD traded at a high of $0.6595.

The Reserve Bank of Australia released the minutes of its last meeting that showed that the policymakers remain upbeat on the overall performance of the economy. However, the interest rates will remain unchanged through summer 2019. As per ICM trading platform, the AUDUSD is trading at $0.7120.

Gold prices rose to a ten-week high of $1233 supported by higher market risks and a weaker dollar. The stock market sell-off that occurred last week raised investor's demand for the safe haven asset. On the other hand, the silver ounce gained on a weaker dollar status and traded at a two-week high of $14.75.

Oil prices lost the gains earned from the tension between the United States and Saudi Arabia. However, the prices remain supported by the fact that Iran's oil exports are dropping fast ahead of the U.S. sanctions. As per ICM trading platform, the West Texas Intermediate crude futures settled at $71.70, and the Brent futures settled at $80.74. The American Petroleum Institute will report the U.S. weekly oil stock later today.

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