Markets extends the decline beyond key supports

FXstreet.com (Edinburgh) -Equities in the US markets are prolonging the negative trend on Tuesday, with both the Dow and the S&P eroding key support areas defined by multi-month uptrends around 14,830 pts and 1,660 pts, respectively. In the meantime, market participants remain vigilant regarding any news from the US shutdown and more important, the debt ceiling. As of writing, DowJones is losing 0.70% followed by the S&P500, 0.86% and the Nasdaq, 1.75%.

Poor Chinese data from services PMI plus escalating unease regarding the US events dragged the main European indices lower on Tuesday. The FTSE100 dropped 1.11% seconded by the CAC40 and the IBEX35, down 0.77% and 0.67%, respectively. Another volatile session for the single currency, driving the pair to lows around 1.3560 to session highs near 1.3610, just to stabilize afterwards in the 1.3570/75 region.

In the commodities’ space, the barrel of WTI is up 0.54% at $103.59 while the ounce troy of gold is losing 0.18% at $1,322.