July Trading Update (week 3)

U.S. stocks fell on Thursday, after the Dow Jones Industrial Average closed at a record this week, as Ukraine said rebels shot down a passenger jet near its border with Russia.

The Standard & Poor’s 500 Index (SPX) fell, The Dow slipped and the yen strengthened across the board and to a five-month high against the euro after reports on the plane crash surfaced, boosting safe haven assets.

In other news this week, Federal Reserve Chair Janet Yellen told lawmakers the central bank must press on with record monetary stimulus to combat persistent job-market weakness.

“There are mixed signals concerning the economy,” Yellen said in response to questions during testimony to the Senate Banking Committee. “We need to be careful to make sure that the economy is on a solid trajectory before we consider raising interest rates.”

While her “overall view is more positive,” Yellen said low wages are one sign of “significant slack” in labour markets, even after the jobless rate fell to an almost six-year low.