US STOCKS-Wall St falls after North Korea test, Fed comments

viernes 9 de septiembre de 2016 09:48 GYT

* North Korea conducts fifth nuclear test

* Fed's Rosengren says increasingly risky to delay hike

* Indexes down: Dow 0.73 pct, S&P 0.8 pct, Nasdaq 0.72 pct (Updates to market open)

By Chuck Mikolajczak

NEW YORK, Sept 9 (Reuters) - U.S. stocks opened lower on Friday amid investor caution following a nuclear test by North Korea and comments by a U.S. Federal Reserve official that supported an interest rate hike.

North Korea conducted its fifth and biggest nuclear test on Friday and said it had mastered the ability to mount a warhead on a ballistic missile, drawing condemnation from the United States as well as China, Pyongyang's main ally.

"The timing of North Korea flexing their nuclear muscles is interesting in that it comes on the heels of the leader of the free world's trip to Asia," said Art Hogan, chief market strategist at Wunderlich Securities in New York. He was referring to President Barack Obama, who arrived in Asia last week to attend a G20 meeting before touring other Asian nations.

"So that is in and of itself kind of insulting but it's also disturbing if they are making significant traction here, but it's hard to know."

Futures extended losses after Boston Fed President Eric Rosengren, a historically dovish policymaker, said the Federal Reserve increasingly faces risks if it waits too much longer so a gradual policy tightening is likely appropriate, although he said the Fed was unlikely to raise too rapidly.   Continuación...