Stocks, Dollar Shaken by Missile Strike in Poland: Markets Overview

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Stocks and currencies wobbled on Wednesday after a missile that hit the Polish border fueled fears of an escalating war in Ukraine.

Shares in Hong Kong, Australia and South Korea fell, as did European stock futures amid significant intraday price volatility. U.S. futures pared early declines to trade flat.

Upbeat sentiment from the prospect of a slower rate hike from the Federal Reserve evaporated as traders in Asia turned their attention to geopolitical risks. US President Joe Biden’s comments – suggesting the missile was unlikely to have been launched by Russia – had only a temporary impact on investor confidence.

The Polish zloty pared losses against the dollar, while the greenback traded in a wide range on the day, underscoring investor uncertainty.

“After a strong recovery in US equities and in Chinese equity markets, I think it makes sense for there to be some consolidation,” Grace Tam, chief investment adviser for Hong Kong at BNP Paribas Wealth Management, said on Bloomberg Television. “With what happened with the missile, that could be the reason for the consolidation. Sentiment has moved from risk-on to somewhat risk-on.”

Treasury yields posted small gains after recent declines in line with the Fed’s rate pricing. Both oil and gold fell.

Key events this week:

  • US business stocks, cross-border investment, retail sales, industrial production, Wednesday

  • The Fed’s John Williams, Lael Brainard and SEC Chairman Gary Gensler speak Wednesday

  • ECB President Christine Lagarde spoke on Wednesday

  • Eurozone CPI Thursday

  • US housing starts, initial jobless claims, Thursday

  • The Fed’s Neil Kashkari, Loretta Mester talk, Thursday

  • The US Conference Board’s leading index, sales of existing homes, Friday

Some of the major moves in the markets:

Stock up

  • S&P 500 futures were little changed as of 2:45 p.m. Tokyo time. S&P 500 gained 0.9%

  • Nasdaq 100 futures were little changed. Nasdaq 100 rose 1.5%

  • The Topix index was little changed

  • The Hang Seng index fell 1.2%

  • Australia’s S&P/ASX 200 fell 0.3%

  • Shanghai Composite Index fell 0.4%

  • Euro Stoxx 50 futures fell 0.4%


  • The Bloomberg Dollar Spot index was little changed

  • The euro rose 0.2% to $1.0373

  • The Japanese yen fell 0.3 percent to 139.73 per dollar

  • The offshore yuan fell 0.5 percent to 7.0815 per dollar


  • Bitcoin rose 0.2% to $16,919.25

  • Ether rose 0.8% to $1,255.46



  • West Texas Intermediate crude fell 0.8% to $86.24 a barrel

  • Spot gold fell 0.3% to $1,774.30 an ounce

This story was created using Bloomberg Automation.

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