Stocks open lower after China data increase concern about global economical slowdown

Chinese data released overnight on retail sales, professional output and fixed asset investment growth all overlooked expectations. Asian equity markets closed mostly lower, with the Shanghai composite slipping 0.5 percent. European stocks followed suit, with the broad Stoxx 600 index declining half of a percent.

The Chinese 10-year yield hit its highest level in 3 years and copper prices fell following data releases.

“China’s economy will inevitably slow even more if we actually find slower credit growth and today we have increasing interest rates,” Peter Boockvar, chief industry analyst at The Lindsey Group, said in a note.

Wall Street also paid attention to the retail space, seeing that several corporations in the industry reported quarterly effects on Tuesday.

Dow-component House Depot reported revenue and revenue that defeat expectations. Same-store sales – an integral metric for vendors – crushed estimates. However the stock traded 0.3 percent lower in the premarket.

TJX Companies, the mother or father company of TJ Maxx, posted earnings per share that were consistent with expectations, while earnings missed. The company’s stock fell nearly 4 percent prior to the bell, following its same-store revenue for the quarter remained flat. Analysts polled by Reuters expected a gain of 2.3 percent.

Read more on: