(Bloomberg) — Stocks fell with U.S. equity futures on Thursday as investors parsed a slew of economic data from China that showed the path of economic recovery from the pandemic remains bumpy. The dollar edged higher with Treasuries.The Stoxx Europe 600 Index tracked Asian shares lower after data indicated that even as China’s economy returned to growth in the second quarter, retail sales in June missed estimates and continued to contract. Futures on the three main American equity gauges pointed to a weak start on Wall Street.The euro edged down and regional bonds were mixed ahead of the European Central Bank’s policy decision. The ECB is expected to keep its emergency bond-buying program unchanged but President Christine Lagarde will likely face questions over whether the current level of support will be sufficient.The reminder of the long road ahead to a full global recovery is quashing optimism in financial markets earlier in the week spurred by progress in vaccine development. While China is seeing a modest domestic recovery, it remains highly vulnerable to setbacks in external demand as shutdowns continue to hamper activity across the globe.“The problem is, this is still uneven,” Helen Qiao, chief greater China economist at Bank of America Corp., said on Bloomberg TV, referring to the latest data. “It is hard to see how China can remain on a firm footing at a time when the rest of the world is still coping with a very deep recession.”Meanwhile, President Donald Trump has indicated to aides that he doesn’t want to further escalate tensions with Beijing, and has ruled out additional sanctions on top officials for now, according to people familiar with the matter. His administration is considering a sweeping ban on travel to the U.S. by Chinese Communist Party members, though Trump may in the end reject the plan, according to a report.These are the main moves in markets:StocksFutures on the S&P 500 Index dipped 0.5% as of 8:24 a.m. London time.The Stoxx Europe 600 Index declined 0.5%.Germany’s DAX Index decreased 0.4%.The MSCI Asia Pacific Index dipped 1.4%.CurrenciesThe Bloomberg Dollar Spot Index advanced 0.1%.The euro dipped 0.1% to $1.1401.The Japanese yen was little changed at 106.99 per dollar.The British pound fell 0.3% to $1.2551.BondsThe yield on 10-year Treasuries dipped one basis point to 0.62%.Germany’s 10-year yield decreased one basis point to -0.45%.Britain’s 10-year yield declined one basis point to 0.153%.CommoditiesWest Texas Intermediate crude dipped 0.6% to $40.94 a barrel.Gold weakened 0.2% to $1,806.79 an ounce.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
