Global market update: Wall Street indices erase gains as investors wary of US shutdown

livemint.com:

Global market update: Wall Street indices erased its gains from signs of subsiding inflation as investors seems weary of US shutdown on October 1, 2023. Dow Jones index ended 0.47 per cent lower whereas S&P 500 index went down 0.27 per cent on Friday. However, tech heavy weight Nasdaq manged to remain in positive territory as it closed 0.14 per cent higher on Friday.

MSCI'S global equities ended slightly lower after a choppy session on Friday last week as investors prepared for a likely US government shutdown and adjusted portfolios for the quarter's end. MSCI's gauge of stocks across the globe shed 0.04 per cent on the day. For the month of September it fell 4.3 per cent, which was its biggest monthly decline in a year.

For the quarter it lost 6.6 per cent, for its first quarterly decline in a year. Gold price hits two month low on soaring US dollar rates. Buy or wait? According to the latest data from CME Group's Fedwatch tool, traders were betting on an 85.8 per cent probability that the Fed would keep rates steady at its next meeting in November compared with an 80.7 per cent probability on Thursday.

In currencies, the US dollar was headed for its biggest quarterly gain in a year and gains for the 11th consecutive week while Japan's yen remained under scrutiny for potential government intervention. US government shutdown imminent: Republicans reject own funding bill The yen weakened 0.07 per cent versus the greenback at 149.43 per dollar. The dollar index, which measures the greenback against a basket of major currencies, rose 0.038 per cent, with the euro up 0.09 per cent to $1.0568.