A negative initial reading of the United States (US) services and manufacturing purchasing management index (PMI) is seen rekindling expectations that the Federal Reserve (Fed) may act more passively with its interest rate hikes.
Examining the published readings, the service PMI data contracted from 47.3 points to 44.1 points while the manufacturing PMI data was still above the expansion level of 50 points but decreased from last month's reading at 51.3 points.
As a result, analyst Marvin Loh said the market sees a chance that the Fed will slow its monetary tightening policy to 50 basis points from 75 during the Jackson Hole Symposium this weekend.
This indirectly sent the dollar index down 0.422% while the Euro rebounded to 0.24% at $0.9965.
As a result, Wall Street showed a slight improvement but was still in red territory with the Dow Jones Industrial falling 0.47%, the S&P 500 down 0.22% and the Nasdaq Composite flat.
Europe's STOXX index closed weak to a weekly low of 0.24% and MSCI's gauge of global shares plunged 0.26%.
In the Asian region, Japan's Nikkei lost 1.2% while China's blue chip stocks fell 0.5% with the Yuan falling to a 2-year low.
On the opposite side, yields also declined along with the dollar but rebounded slightly towards the end of the session and limited gains in equities.
As for commodities, oil prices surged with Saudi Arabia warning that OPEC+ may limit production.
So the news made United States (US) crude oil up $3.38 at $93.74 and Brent oil at $3.74 at $100.22.
