· The S&P 500 and Dow suffered their worst tumbles in over a month on Tuesday after data showed U.S. factory activity shrank in September to its weakest in over a decade, ratcheting up fears that the U.S.-China trade war is hobbling the world’s largest economy.
A jobs report on Friday is expected to shed further light on U.S. economic strength.
The Dow Jones Industrial Average .DJI fell 1.28% to end at 26,573.04, while the S&P 500 .SPX lost 1.23% to 2,940.25. Both indexes had their biggest one-day dip since Aug. 23, when U.S. President Donald Trump demanded that American companies seek alternatives to doing business with China.
The Nasdaq Composite .IXIC dropped 1.13% to end at 7,908.69.
The Cboe Volatility Index, or VIX .VIX, an options-based gauge of investor anxiety, rose 2.3 points to 18.56, its highest close in about a month.
· Stocks in Asia traded lower Wednesday morning amid renewed fears of a global economic slowdown.
Japan’s Nikkei 225 shed 0.59% as shares of index heavyweights Softbank Group and Fanuc dropped 1.99% and 1.78%, respectively. The Topix index also slipped 0.49%. Over in South Korea, the Kospi declined0.92%.
Investors will watch for reaction to new data that renewed fears of a slowing global economy. The Institute for Supply Management (ISM) said U.S. manufacturing activity contracted to its worst level since June2009. That report came on the back of the release of weak manufacturing data from Europe.
Markets in China and India are closed on Wednesday for holidays.
Reference: CNBC, Reuters
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