Wall Street looks set to erase all of its gains for the month Wednesday as markets retreat amid a record rise in coronavirus infection rates and volatility spikes ahead of next week's Presidential elections.
Contracts for Euro and Japanese Yen implied volatility versus the U.S. Dollar expiring in a week climbed to their highest since early April.
European indices are witnessing a bloodbath on Wednesday as a rising second wave of the coronavirus infections leads to fears of a lockdown. The negative sentiment impacts global markets, with the Dow futures receding 1.58% and the S&P500 futures plunging 1.23% at last check, and a mixed session in Asia.Euro Stoxx 50 benchmark has shed 2.60% in Wednesday's trade to its lowest point since June. All the sectors are falling, with autos stocks leading the decline. London's FTSE 100 hit April lows by falling 1.7%. All sectors are trading in red, with bank shares leading the decline. U.K.'s distributive trade survey index for October fell to -23, compared to a consensus of 1.Germany's DAX has tumbled 3.16% at press time, hitting June lows. Automobile, banks, and technology shares have fallen massively. Germany's import price index in September rose 0.3% month-over-month but fell 4.3% year-over-year.France's CAC 40 index has lost 2.9%, falling below the lowest point since June. All sectors are falling, led by energy shares. The consumer confidence index for October fell 1 point to 94, better than a consensus of 93.Spain's IBEX index is trading lower by 1.9% after the retail sales for September fell 3.3% YoY. All sectors have tumbled more than 1%.Forex Trading: U.S. Dollar Index futures have gained 0.49% to 93.380. The dollar has strengthened 0.37% against the Euro to $1.1751 and 0.54% against the Sterling to $1.2972.ETFs to watch: Vanguard FTSE Europe ETF (NYSE: VGK) and SPDR EURO STOXX 50 ETF (NYSE: FEZ)See more from Benzinga * Click here for options trades from Benzinga * China EVs Are Catching Up With Tesla * Microsoft's Search Revenue Downtrend Signals Trouble For Google Too(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.