U.S. stocks mixed, pound gains as global selloff pauses
BNN Bloomberg
Global markets remained on edge Tuesday as investors braced for a heightened risk of global recession, even as dip buyers emerged.
Stocks were mixed as Goldman Sachs Group Inc. and BlackRock Inc. soured on equities for the short term and Citigroup Inc. said bearish positioning continues to rise. US futures rebounded with Europe’s Stoxx 600, while Asian shares fell.
Bonds remained under pressure from the worst selloff in decades, with the benchmark 10-year Treasury yield holding near the highest level since 2010. The dollar gauge slipped back from a record high Monday, when Federal Reserve officials repeated hawkish comments on policy.
UK markets clawed back some losses after a meltdown triggered by the government’s fiscal plan late last week. Gilt yields slid following the biggest-ever surge and the pound rose 1.1 per cent after falling to a record low. Traders remained wary of the risk that the currency could slump to parity with the dollar after the Bank of England indicated it may not act before November to stem the rout.
