US close: Markets fall as consumer confidence falls short of expectations

The Dow Jones Industrials fell flat at 18,038.23 while the S&P 500 dropped 0.49% to 2,080.34 and Nasdaq declined 0.7% to 4,282.35.

Spreadex financial analyst Connor Campbell said: “The US markets are just as susceptible to dark economic clouds as their European brethren, as shown by today’s retracement by the Dow Jones et al.”

“However the Dow, for now, is still clinging onto its post-18000 levels and the NASDAQ is currently only 300 points away from its March 2000 record closing high, leaving the US markets are in far better shape than the rest of the world.”

He added: “After consumer confidence data came in slightly lower than expected, the US Fed is left in a tricky position as it tries to estimate the effects of cheap oil on the consumer, and whether this can allow for a raise in interest rates that won’t cripple the US public.”

The US consumer confidence index came in at 92.6 versus a consensus expectation of 93.9 month-on-month for December.

Oil prices continued to fall as West Texas Intermediate crude futures inched forward 0.056% to $53.64 while Brent crude futures plummeted 0.748% to $57.45.

According to Spreadex: “With US crude inventories tomorrow afternoon, oil could have another severe blow in store before the year is out.”

Over on COMEX, gold futures moved up 1.40% to $1,198.5 per ounce.

The dollar receded against the pound, the euro and the yen on Friday while 10-year US Treasury yields fell one basis point to 2.19%.

Meanwhile, in corporate news, Walt Disney shares lost out 0.84% to $94.7 while Microsoft shares rose 0.15% to $47.52.