Dollar at eight-week low vs yen as North Korea tensions simmer


Stocks tumbled today after President Donald J. Trump said his "fire and fury" comment to North Korea "maybe wasn't tough enough".

"Bearing in mind how well risk assets have performed this year, and how low volatility is, it unsurprising that this increased geopolitical risk has caused some pull back", Andrew Bresler, deputy head of sales trading for Asia Pacific at Saxo Capital Markets Ltd.

Besides, persistent buying by local jewellers at domestic spot market stoked the uptrend. KLA-Tencor gained $2.52, or 2.9%, to $90.07, while Seagate Technology added 97 cents, or 3.1%, to $32.53. Pacific time. The Dow Jones industrial average added 51 points, or 0.2%, to 21,895.

Most large-cap stocks were mixed across the board.

Investors will keenly watch appearances later on Friday by Dallas Fed boss Robert Kaplan and Minneapolis Fed President Neel Kashkari for clues on inflation and the future path of rate hikes.

Disappointing listed-company earnings for the second quarter, largely due to weaker-than-expected net profits of large firms, also dampened investors' risk appetite, Mr Chaiyaporn said.

"The market is trying to interpret the CPI data as somewhat positive because it is anticipating that the Fed will be on hold not only in September but also possibly in December", said Robert Pavlik, chief market strategist at Boston Private Wealth.

Alliancebernstein LP Sells 1300 Shares of AMERISAFE, Inc. (AMSF)
The insurance provider reported $0.82 earnings per share for the quarter, topping the Zacks' consensus estimate of $0.77 by $0.05. A number of other hedge funds and other institutional investors have also recently modified their holdings of the company.

USA gold futures for December delivery rose 0.2 percent to $1,291.80 per ounce. The yield on three-year Treasurys fell 2.0 basis points to 1.804 percent and the return on benchmark five-year government bonds shed 2.0 basis points to 2.004 percent.

The Toronto Stock Exchange's S&P/TSX composite index fell 143.08 points to 15,074.25, with almost all of its sectors moving lower.

The pan-European FTSEurofirst 300 index lost 1.19 per cent.

Smaller-company stocks also fell sharply. Humana Inc. rose $4.74, or 1.9 percent, to $254.96.

On the economic front, data is expected to show that US consumer prices likely rose in July after being unchanged the prior month.

Jitti Tangsithpakdi, chairman of the Gold Traders Association, said soaring gold prices are expected to continue and will reach $1,300 an ounce if geopolitical tensions escalate. Silver fell 0.3% to $17.04 per ounce after hitting $17.24, its highest since June 14, in the previous session.

A Reuters Datastream index of more than 7,000 stocks across the globe saw its market capitalisation drop from a record high US$61.36 trillion on Monday to US$60.43 trillion at the close on Thursday.