Wednesday Morning Market Preview, Calendars

Morning Market Preview:

S&P futures are mixed, down 2 to 3 points, as…

• Federal Reserve Bank of Minneapolis President Neel Kashkari said he's seeing positive supply-side developments but the central bank must endeavor to bring down high inflation.
• Investors await the National Association of Realtors' July pending home sales data for clues on the impact of rate hikes on housing demand and prices.
• Federal Reserve minutes of the July discount-rate meeting showed directors at the St. Louis and Minneapolis regional banks favored a 1% increase in commercial banks' borrowing costs.

• Department-store giant Nordstrom lowered its full-year earnings and revenue forecasts, citing slowing demand and rising inventories.

European markets fell as…

• The Confederation of British Industry warned that without government assistance many companies could fall into financial trouble amid rising energy bills this winter.
• The European Union said it would hold a summit with leaders from the Association of Southeast Asian Nations to strengthen and expand existing infrastructure and trade ties.
• European Central Bank Executive Board member Fabio Panetta said the central bank must consider the drag slowing economic growth has on inflation when making future rate decisions.
• Ukrainian President Volodymyr Zelensky proclaimed that it would liberate all its lands from Russia in an address to the nation on its Independence Day.

Asian markets declined as…

• Japanese nationwide department store sales growth for July eased compared to June as demand for clothing, accessories, and household goods slowed.
• The Bank of Korea's business manufacturing survey for September rose compared to August yet remained pessimistic as an increasing number of businesses said domestic demand fell.
• Chinese authorities said they were investigating executives of state-owned real estate companies as the government in Beijing continued its crackdown on corruption.
• Japanese Prime Minister Fumio Kishida announced that the country will restart idled nuclear plants to stabilize energy supply.

And ahead of…

• Preliminary Capital, Durable Goods Orders for July (8:30 a.m.)
• Pending Home Sales for July (10 a.m.)
• Energy Information Administration Crude Oil Inventory Data (10:30 a.m.)

Pre-Market Levels:

S&P –0.06%

Asia:

Japan's Nikkei –0.49%, Japan's TOPIX –0.22%, China's Shanghai Composite –1.86%, Hong Kong Hang Seng Index –1.20%, South Korea's KOSPI +0.50%, Taiwan's TSE –0.18%

Europe:

EuroStoxx 50 +0.25%, UK FTSE –0.42%, German DAX –0.17%, French CAC –0.11%, Italian MIB –0.17%, Spanish IBEX –0.31%

Currencies:

Dollar +0.29%, Japanese Yen –0.04%, Euro –0.34%, British Pound –0.34%, Swiss Franc –0.01%, Chinese Yuan +0.43%

Risk:

VIX +0.17%

Bitcoin –0.60%

Ethereum –0.61%

Growth:

WTI Crude +0.84%

Brent Crude +0.87%

Nat Gas +0.67%

Copper –1.37%

Safety:

Gold –0.28%

Silver –0.95%

Sovereign Bonds:

U.S. Treasury 10-yr yield +0.2 bps at 3.05%

U.S. Treasury 2-yr yield +1.5 bps at 3.32%

German 10-yr yield +3.5 bps at 1.36%

French 10-yr yield +4.8 bps at 1.98%

Italian 10-yr yield +4.2 bps at 3.69%

Japanese 10-yr yield +1.1 bps at 0.22%

Earnings:

ALOT, CNF, CTRN, DY, EAT, HMLP, HYZN, IIVI, IMBI, KRKR, MIC, MREO, PLUS, PSEC. RERE, TDCX, UCL, WOOF, and XRAY before the open.

ADSK, AMSWA, BBIG, BOX, CRM, EDAP, GES, JBSS, KXIN, LCI, NTAP, NVDA, PAHC, PEGY, RVIC, SJ, SNOW, SPLK, TGS. VSCO, VVPR, WSM, and ZUO after the close.

Calendar:

Japan – Final Machine Tool Orders for July South Korea – Manufacturing, Non-Manufacturing Business Conditions Survey for September MBA Mortgage Applications (7 a.m.) Preliminary Capital, Durable Goods Orders for July (8:30 a.m.) Pending Home Sales for July (10 a.m.) Energy Information Administration Crude Oil Inventory Data (10:30 a.m.)