U.S. stocks, dollar fall on FBI review of Clinton emails

Fri Oct 28, 2016 5:24pm EDT
 
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

By Hilary Russ and Chuck Mikolajczak

NEW YORK (Reuters) - Wall Street recovered some losses on Friday but still closed lower, with U.S. stocks and the dollar falling after the Federal Bureau of Investigation said it would probe additional emails related to Democratic presidential candidate Hillary Clinton's use of a personal email server while secretary of state.

The dollar slipped against major currencies, including the Euro and the yen, but rose to three-week highs against the Mexican peso.

The markets, which have been pricing in a likely Clinton win against Republican candidate Donald Trump, were initially spooked by news that could be an advantage to Trump.

Stocks recovered some ground, however, once investors digested the FBI announcement, said Stephen Massocca, chief investment officer, Wedbush Equity Management LLC in San Francisco.

"People calmed down and considered what it really meant, that in all likelihood it really isn’t going to impact the election," he said.

The Dow Jones industrial average .DJI fell 8.49 points, or 0.05 percent, to 18,161.19, the S&P 500 .SPX lost 6.63 points, or 0.31 percent, to 2,126.41 and the Nasdaq Composite .IXIC dropped 25.87 points, or 0.5 percent, to 5,190.10.

The political uncertainty dented the U.S. dollar, which was down 0.56 percent against a basket of major currencies .DXY after earlier hitting an eight-day low of 98.242. The dollar index was set to post a weekly decline of about 0.4 percent.

The greenback fell about 0.7 percent against the yen to a session low of 104.49 yen JPY= after hitting a three-month high of 105.53 earlier.   Continued...

 
Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., October 21, 2016.  REUTERS/Brendan McDermid