Stock futures were flat overnight in the United States after a negative trading day for the major indexes.
- The S&P 500 is flat so far this month after rising 9% in July.
- Federal Reserve Chairman Jerome Powell is scheduled to give a speech on Friday in which he is expected to comment on future monetary policy.
- The current 10 Year U.S. Treasury yield is set at 3.04520%
The Canadian government has signed deals to provide Mercedes-Benz and Volkswagen with raw materials for electric car batteries.
- The deals could have been influenced by the approval of fiscal benefits that seek to ensure that carmakers source battery materials from the U.S.
- German Chancellor Olaf Scholz attended the signing ceremony in Toronto.
- The deals are part of Canada’s efforts to invest in its automotive industry, with a focus on electric vehicles.
European stock markets were lower on Tuesday as investors reacted to new economic data.
- The Stoxx 600 was down 0.5% on the day. Healthcare and media stocks were the worst performing, losing 1.6%. Oil and gas stocks were up 3.1%.
- Purchasing Manager’s Index data showed that business activity in the Eurozone decreased in August for the second straight month.
- Maersk stock lost 2.7% after Citi cut its target price.
|Euro STOXX 50
|UK (FTSE 100)
|France (CAC 40)
Stocks in Asia were mixed on Wednesday morning after a third straight negative day in the United States dampened investor sentiment.
- Chinese stocks were down across the board.
- The Shenzhen Component and Shanghai Composite were down in the early morning trading.
- Xpeng was down 12% after reporting a larger than expected loss last quarter.
- Tech stocks continued to struggle with the Hang Senf Tech Index down 1.8% in early morning trading.
|S&P Asia 50
|Japan (Nikkei 225)
|South Korea (KOSPI)
|China (Hang Seng)
Oil prices were up on Tuesday after Saudi Arabia said that OPEC+ may cut oil output to put upward pressure on prices.
- Brent crude rose 3.88% and U.S. West Texas Intermediate crude was up 3.7% on Tuesday.
- Analysts expect a decline of 1.5 million barrels in U.S. crude oil stocks last week.
- Oil prices have decreased significantly since hitting a high of $147 per barrel in March, after Russia invaded Ukraine.
Currency Exchange Rates
The U.S. Dollar was down slightly on Tuesday after reports show that private sector activity in the U.S. has fallen for two straight months.
- There are concerns about the impact of the quick rise in interest rates from 0.25% in March to 2.50% at present.
- The Chinese Yuan is currently at a two-year low as higher interest rates in the U.S. continue to impact the Chinese currency.
- The Euro is down 12% this year and 3% in August.
|Canada (Canadian Dollar)
Bitcoin continues to struggle as investors await guidance regarding future monetary policy from Fed Chairman Jerome Powell later this week.
- The Reserve Bank of India claims that its warnings about the risks of cryptocurrency have caused people to avoid investing in the industry.
- Andreessen Horowitz believes that cryptocurrency businesses will cause power to move away from big Internet companies to the general public.
- EOS token is up 28% after switching to Antelope.