Dow drops 200 points on escalating North Korea tensions

A street sign for Wall Street is seen outside the New York Stock Exchange in Manhattan New York City

A street sign for Wall Street is seen outside the New York Stock Exchange in Manhattan New York City

At 10:57 a.m. ET (1457 GMT), the Dow Jones Industrial Average was up 54.38 points, or 0.25 percent, at 21,898.39, the S&P 500 was up 8.69 points, or 0.35 percent, at 2,446.90.

The modest rebound came at the end of a turbulent week on Wall Street as escalating tensions between the USA and North Korea rattled global markets.

If Friday's data points to strong United States inflation, it could raise concerns about further interest rate increases.

In the latest economic data, the consumer-price index ( rose a seasonally adjusted 0.1% in July, its fifth straight month of softness, raising more questions about whether inflation will eventually rise to hit the Federal Reserve's 2% annual rate target.

Investors also drew some encouragement from new government data showing US inflation at the consumer level inched higher last month.

Despite its recent weakening, the New Zealand dollar is still up more than 5 per cent this year, setting a 26-month high of $0.7557 in July. The S&P 500 is up 9 percent, while the Dow is up 10.6 percent.

Stocks, dollar extend slide as US, North Korea tensions intensify
MSCI's broadest index of Asia-Pacific shares outside Japan skidded 1.55 percent, its biggest one-day loss since mid-December. Spot gold inched down 0.1 percent to $1,284.64 per ounce as of 0616 GMT, but was set for a weekly gain of over 2 percent.

The greenback also came under pressure after New York Federal Reserve President William Dudley cautioned it would "take some time" for U.S. inflation to reach the bank's two percent target, the latest warning price pressures remain muted.

Geopolitical concerns took centre stage once again after President Donald Trump issued a new round of comments against North Korea.

A spokesman for the Korean People's Army said in a statement on Wednesday it was "carefully examining" plans for a missile attack on the U.S. Pacific territory of Guam, which has a large U.S. military base.

"Military solutions are now fully in place, locked and loaded, should North Korea act unwisely", he tweeted. "Hopefully Kim Jong Un will find another path!"

The North Korea situation isn't the only thing weighing on stocks. TMX Group Ltd was up 3.5 percent to C$68.23, while Quebecor Inc added 2.9 percent to C$44.60.

For the week, the Dow is down 1.1%, its biggest one-week drop since November.

Davinder Singh Kang Disappoints in Javelin Final, Finishes 12th
In the men's javelin throw Final, India's Davinder Singh will also be seen in action tonight. Kang has a season's and personal best of 84.57m.

Meanwhile, the Russell 2000 index of small-cap stocks finished out the week 2.7% lower, its biggest one-week decline since February 2016. Autodesk (ADSK) and Red Hat (RHT) posted notable gains.

The major European markets also saw continued weakness on the day.

South Korean shares, which have been among the strongest performers in the world so far this year, fell 1 percent, while the won lost around 0.6 percent to 1,134.70 to the dollar. The Japanese market was closed in observance of the Mountain Day holiday.

Away from the futures market, London-based gold bullion traders also reported brisk buying by global investors.

U.K.'s FTSE 100, the German DAX and the French CAC 40 all dropped more than 2.3% this week.

Cempra (CEMP) helped to lead the biotech sector lower, extending the pullback seen over the course of the previous session.

Raiders RB Lynch sits during national anthem
Lynch has not spoken to the media at this time, so it's unclear if his statement and the incident are directly related. You do your thing. "On Marshawn, talked to Marshawn trying to make sure we're on the same page", Del Rio said.

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