European stocks may open a tad higher on Wednesday as investors assess private business activity surveys from Asia and await Nvidia Corp.’s earnings later in the day.
Data showed Japan’s factory activity shrank in August and Australia’s business activity contracted at the fastest pace in 19 months, adding to concerns over slowing global growth.
PMIs from the U.S. and euro zone as well as a report on U.S. new home sales are awaited as investors brace for Federal Reserve chair Jerome Powell’s Jackson Hole speech on Friday.
Asian markets traded mixed while China’s yuan inched higher following a string of supportive measures from the People’s Bank of China.
Gold ticked higher, benefiting from a pullback in the dollar and Treasury yields.
Oil prices were marginally higher after the American Petroleum Institute (API) reported a 2.418-million-barrel draw on U.S. crude inventories.
U.S. stocks ended mixed overnight as disappointing housing data helped the 10-year Treasury yield to ease from a fresh 16-year high hit earlier in the global day.
Banking stocks were sold off after S&P Global Ratings downgraded several regional banks by one notch.
The tech-heavy Nasdaq Composite finished marginally higher, while the S&P 500 eased 0.3 percent and the Dow shed half a percent.
European stocks gained for a second consecutive session on Tuesday as chipmakers rallied ahead of Nvidia’s earnings release.
The pan European STOXX 600 rose 0.7 percent. The German DAX climbed 0.7 percent, France’s CAC 40 added 0.6 percent and the U.K.’s FTSE 100 edged up 0.2 percent.
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