US stocks moved higher on Tuesday as US yields headed south. The decline in global growth is beginning to weigh on growth sentiment pushing German Bund Yields to fresh low. The US 10-year yield broke below 2% hitting a fresh 20-month low, and is now poised to test the 2017 lows at 1.32%. Despite the rally in the large cap index, most sectors were lower, led down by a tumble in energy shares a crude oil prices dropped 4.8%. Lower growth generally leads to a decline in energy consumption, and despite OPEC keeping production stable, prices cratered. Defensive sectors such as Utilities and Consumer Staples were the only sectors that rose.
Nike Dropped Shoe with Betsy Ross Flag
Nike Inc, which reported worse than expected financial results last week, has decided to stop distributing the shoe, which featured the Betsy Ross flag. The early American Flag on the shoe represents according a time in the US when slavery was prevalent to Collin Kaepernick. This also came as Arizona’s governor said he was withdrawing financial incentives the state had promised the sneaker giant to open a plant because of its decision to cancel a shoe with an early American flag.
US Yields Drop Below Key Psychological Level
The 10-year Treasury yield tumbled below 2% on Tuesday as concerns about global economic growth pushed investors toward safer assets. In Europe, the benchmark German bund yield fell to a new record low. The yield on the benchmark 10-year Treasury note fell 6 basis points lower at around 1.977%. Fears of an economic slowdown in Europe were exacerbated after the US government on Monday threatened to impose tariffs on $4 billion of additional euro zone goods in a long-running dispute over aircraft subsidies.
Facebook Changes Algorithms Tied to Cancer Treatments
Facebook Inc. and YouTube are flooded with false and potentially harmful information about alternative cancer treatments, which sometimes gets viewed millions of times, according to the Wall Street Journal. The companies say they are taking steps to curb such accounts. Facebook last month changed its News Feed algorithms to reduce promotion of posts promising miracle cures or flogging health services, a move that will reduce the number of times they pop up in user feeds, the company says.
This article was originally posted on FX Empire
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