Global Markets: oil prices dropped as the dollar increased

In Europe, the energy producers, who have fallen by changing direction of oil prices, have been tense. The dollar gained value against most major currencies.

West Texas Oil (WTI) dropped below $ 44 a barrel on speculation that production restrictions of oil were violated. Parallel to the movements in Petroleum, including the Russian ruble and the Norwegian crown, the losses have led to losses. Not only car producers, miners and bankers sold in European stocks.

This change in the direction of the markets has raised suspicions about the risk rally, which moves the shares to record levels all the time. Analysts began to lower corporate profit estimates due to valuations’ upsurge worries. On the other hand, the Central banks are moving toward monetary tightening after nearly 10 years of incentives, although the macroeconomic outlook is complicated and leads to worries that the recovery in global growth will come to an end.

Euro Stoxx 50 Index lost 0.4% at 07:55 New York time after 0.4% gain on Monday while S & P 500 index futures fell 0.1 percent.

West Texas Crude Oil decreased 1 percent in the US before crude oil stocks are expected to decline and fell to $ 43.95 per barrel. Gold price fell 0.3% with more tight monetary policy expectations, approaching the lowest level since March, down $ 1,210.51 per ounce.

Treasury yields of 10-year in the US rose by 1 basis point to 2.39%. 10-year bonds in Europe, the benchmark interest rate rose by 1 basis point and 0.55 percent. In the UK, benchmark interest rates increased a similar amount and changed direction after two days of recovery.

Bloomberg Dollar Spot Index rose 0.1 percent. The dollar strengthened against all major currencies outside the pound. The pound gained 0.2%, trading at $ 1.2903. The Euro did not change much. The yen weakened 0.3% versus the dollar to 114.33 and carried losses to its third day.

Japan’s Topix Index climbed 0.7 percent. In Hong Kong, the Hang Seng Index gained 1.6 percent, the first time in three weeks to win consecutive. The Hang Seng China Enterprises Index gained 2.1 percent, the biggest gain since March 16.

The Shanghai Composite Index fell 0.3 percent after a short rise in revenues following the afternoon session.

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