Asian stock markets opened with sharp cuts tracking weak cues from its peers across the Atlantic after uncertainty over the outcome of next week's presidential elections in the U.S. increased. Safe haven assets like gold maintained their gains while crude oil fell for the fourth day.
Trump Ahead In New Poll
Republican presidential candidate Donald Trump has taken a one percentage point lead against his Democratic rival, Hillary Clinton, according to an ABC News/Washington Post poll. This is the first time Trump has edged ahead since May in a major national tracking poll.
The poll result comes after Friday's announcement that the Federal Bureau of Investigation had reopened its investigation into Clinton's use of an unauthorized e-mail server.
The S&P 500 Index fell for the sixth day in a row, marking its longest losing streak since August 2015. The NASDAQ Composite Index ended 0.7 percent lower, while the CBOE Volatility Index surged as much as 9 percent to its highest level since June 27.
Fed Decision Tonight
The U.S. Federal Reserve will announce its monetary policy decision tonight, even as none of the 90 economists surveyed by Bloomberg expect a rate increase this week. The odds of a Fed rate hike by December too has decreased, falling to 68 percent, according to futures rates tracked by Bloomberg.
Meanwhile, economic activity in the U.S. manufacturing sector expanded for the second straight month. The Purchasing Managers Index expanded to 51.9 in October, led by new orders and growing employment, according to data from the Institute of Supply Management.
Haven Assets Gain, Oil Falls
The Japanese yen strengthened for the second day in a row, rising 0.1 percent against the greenback after gaining 0.6 percent in Tuesday's session.
Gold prices rose to their highest level in four weeks on the back of a weaker dollar and increasing uncertainty over the U.S. elections.
Crude oil prices extended losses from their lowest close in more than a month after industry data indicated an expansion in U.S. stockpiles. Crude supplies increased by 9.3 million barrels according to data from the American Petroleum Institute. Government data awaited tonight is also expected to indicate an increase in stockpiles.
Weak Start?
The SGX Nifty Index fell 0.85 percent to 8,576 indicating a gap down opening for Indian equities, which are on a two-session losing streak.
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