NEW YORK: World stocks slid on Wednesday after a mixed report on US durable goods orders reignited doubts about economic recovery while oil prices fell on news of rising US crude stockpiles.
The US dollar gained, retracing the week’s losses, as the durables goods report for July eroded risk appetite and prompted investors to seek shelter in the safe-haven greenback.
The pan-European FTSEurofirst 300 index of top shares fell 0.5 percent to close at 973.92. The index is still up more than 50 percent from its lifetime low of March 9.
US stocks seesawed after market sell-offs on Monday and Tuesday led investors to turn skittish.
Shortly after 1 p.m., the Dow Jones Industrial Average was down 4.24 points, or 0.04 percent, at 9,535.05. The Standard & Poor’s 500 Index was down 1.74 points, or 0.17 percent, at 1,026.26. The Nasdaq Composite Index was down 6.60 points, or 0.33 percent, at 2,017.63.
Oil pared early gains to drop to almost $71 a barrel, extending losses from the previous session, on the rise in US stockpiles of crude. The US Energy Information Administration (EIA), the statistical arm of the Department of Energy, reported on Wednesday that crude stocks in the world’s largest energy consumer rose by 200,000 barrels last week. US crude for October was down $1.00 at $71.05 a barrel, after falling $2.32 on Tuesday. Brent crude fell 61 cents to $71.21 a barrel after losing $2.44 the previous day.
Gold eased as the dollar recovered losses against the euro.
US gold futures for December delivery in New York were down $1.00 at $945 an ounce.
The ICE Futures’ dollar index rose 0.6 percent to 78.723.
The euro fell about 0.4 percent to $1.4235.