Global markets react to North Korea missile test, U.S. markets close for 4th of July holiday.
Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. North Korea fires ICBM
North Korea said on Tuesday it successfully test-launched an intercontinental ballistic missile (ICBM), which flew a distance that an expert said could allow a weapon to hit the U.S. state of Alaska.
The country run by leader Kim Jong Un who ordered the launch released a statement saying that it is “now a proud nuclear state” that can “target anywhere in the world.”
The statement added that “we can fundamentally end the U.S.' empty threat of nuclear war and offer reliable protection of the peace and stability in the region.”
2. Safe havens rise
As market players digested North Korea’s announcement of long-range nuclear capability, safe havens such as Gold or the JPY rose as investors decided to takes some risk off the table.
Gold prices bounced back after a sharp fall on Tuesday amid the heightened geopolitical risk.
The JPY gained broadly on Tuesday after North Korea's missile launch deepened geopolitical concerns.
3. U.S. markets closed for holiday
With Wall Street closed for the Independence Day holiday on Tuesday, global stocks traded mostly lower as North Korea’s missile launch dampened risk appetite.
European shares traded lower though some cases of M&A limited losses.
Earlier, Asian stocks closed lower with China’s Shanghai Composite down 0.4% and Japan’s Nikkei off 0.2%.
U.S. futures were an exception to the general rule, registering small gains.
Elsewhere, Oil prices were lower on Tuesday as market players took profit after eight straight days of gains, its longest winning streak since February 2012.
Crude received support from data last week that U.S. production may be moderating, but concerns over the global supply glut remain in the spotlight.
4. Stocks go crazy on Tech glitch
The prices of several big-name Nasdaq-listed stocks appeared on some websites to either spike or plunge well after the closing bell on Monday, seemingly due to a glitch related to the market data that runs the largely automated markets.
At around 10:00 GMT, the prices of Amazon Inc and Microsoft Corp stocks appeared to have lost more than half their value, while Apple Inc shares appeared to more than double. Google parent Alphabe Inc and eBay Inc shares were among others that all appeared to be priced at $123.47 on some financial news websites on Monday evening.
The actual prices of the stocks were not affected and no trades were completed at that price, a Nasdaq spokesman confirmed.
