U.S. and European stocks fell for a fifth day, gold slid and Treasury yields reached the highest since September as improving economic data fueled bets the Federal Reserve will reduce bond purchases. The euro rose as the central bank gave no sign it will start negative deposit rates.
European stocks slid, posting their longest losing streak in five months, as European Central Bank President Mario Draghi said that financial-market developments and low domestic demand may hurt the euro area’s economy.
Federal Reserve Bank of Atlanta President Dennis Lockhart, a backer of record stimulus, said any decision to taper bond purchases should be accompanied by a limit on the size of the program or a timetable for ending it.
South Korea’s bonds fell, pushing the five-year yield to the highest level since June, as foreign investors cut holdings of local stocks in preparation for a reduction in stimulus by the Federal Reserve.
U.S. Treasury yields rose to an 11- week high and stocks fell a fourth day as signs of economic growth fueled concern the Federal Reserve will scale back bond buying. Copper, gold and crude oil led commodities higher.
European stocks declined for a fourth day, their longest losing streak in more than five months, as better-than-expected U.S. jobs data fueled concern the Federal Reserve will pare stimulus measures sooner than forecast.