U.S. equities are back underwater
U.S. equities are back underwater after global indices spilled lower overnight amid renewed U.S.-Sino trade tensions and the U.S.-Saudi diplomatic spat. Trump warned of "severe punishment" if it turns out the Saudis killed the journalist Khashoggi as feared. European bourses are mixed, with the Euro Stoxx 0.3% back in the green, the German DAX 0.5% firmer, while others are still straggling in the red. Asia was uniformly heavy on the Sino trade concerns, with Japan's N-225 off 1.8%, the HK Hang Seng 1.3% lower and the China CSI 300 off 1.4%. U.S. listed Chinese giants were 1-4% lower amid the likes of Baidu, Alibaba and JD.com, resuming their correction. The Dow faltered 45-points, S&P fell 5-points and NASDAQ is off 24-points in pre-open trade. Stocks had pared the bulk of their losses before turning lower again amid disappointment on the damp retail sales report. Sears shed 33% after finally filing for Chapter 11, while Bank of America enjoyed a boost in lending margins thanks to higher rates. Trump just tweeted that he spoke to the Saudi King, who denied any knowledge of the Khashoggi affair.