US Stocks Bleed Due To Political Turmoil

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The US Dollar dipped against the Japanese Yen in Asian trading as investors' fears grow over President Trump's inability to move his economic policy agenda forward.

On Thursday, the U.S. S&P 500 slid 1.5 percent for its biggest daily percentage drop in three months.

"The realisation of the worst case scenarios (in Washington and in North Korea) would likely bring about a more significant drop in global equity markets", said Jingyi Pan, market strategist at IG in Singapore.

The White House Thursday strongly denied rumors that National Economic Council Director Gary Cohn might follow other top business leaders in leaving the Trump administration. But he's always been seen as "at odds" with others in the administration - and was cited as a rival by White House chief strategist Steve Bannon in a candid interview with the American Prospect.

Prior to the attack, investors already were fretting over news Trump had dissolved two business councils amid an exodus of CEOs seeking to distance themselves from the USA president's heavily-criticised response to a white supremacy rally over the weekend.

The Dow suffered its biggest drop since mid-May, while the S&P was dragged down by the information technology sector.

After Trump blamed counter-protesters as much as the white nationalists for clashes that left one woman dead, an exodus of business executives from his advisory councils on Wednesday fueled speculation other officials, such as Cohn, would leave.

Investors were rattled over rumours regarding Economic Adviser Gary Cohn's future
Wall St ends down after more White House turmoil

The dollar posted its third session of losses against the yen, falling 0.25 percent to 109.31 yen and shrinking this week's gains to 0.3 percent.

Dow Jones closed down by 0.35 percent, S&P 500 ended down by 0.19 percent, Nasdaq finished the day down by 0.09 percent.

The 10-year Treasury yield was 2.197 percent, unchanged from on Thursday and marginally higher on the week.

Friday also was the eighth straight day in which the New York Stock Exchange and Nasdaq had more stocks making new 52-week lows than highs, matching a similar streak leading up to Trump's election.

The S&P 500 on Friday lost 4.46 points, or 0.18 percent, to close at 2,425.55, falling 0.6 percent from 2,441.2 on August 11. It is on track for a 2.15 percent decline for the week.

When President Donald Trump launched into his press conference on Tuesday, it was chiefly to outline his vision for transforming the nation's aging infrastructure and energizing the USA economy.

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