Stock markets hit fresh record highs on Tuesday. And now U.S. stock futures are holding steady.
Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:
1. Breaking records
1. Breaking records
U.S. stocks have never been higher.
The S&P 500 closed last night at 2,152 points and the Dow Jones industrial average closed just below 18,348.
Investors pushed shares up after a strong U.S. jobs report triggered a rebound from a Brexit-inspired meltdown. The fact that the U.K. found a successor to departing Prime Minister David Cameron much faster than expected has also helped markets by banishing some uncertainty.
The overall mood is not as jubilant on Wednesday, but investors certainly aren't hitting the sell button quite yet.
European markets are mixed in early trading, while most Asian markets ended the day with gains.
It made 27 of the super jumbos last year, but is now targeting annual production of just 20 in 2017 and 12 in 2018.
Doubts had been building over the future of the A380 in recent years amid a dearth of new customers.
2. Theresa May is officially the new Prime Minister
2. Theresa May is officially the new Prime Minister
The current British Home Secretary Theresa May will be sworn in as the new Prime Minister later on Wednesday, jump-starting a process that wasn’t expected to be completed until September 9.
GBP was firmer on Wednesday as investors waited for the appointment with May expected to begin naming her ministers.
Most eyes will focus on the posterior naming of a so-called “Brexit czar” whose task will be to handle negotiations after the U.K.’s decision to leave the European Union.
3. Fed speakers ahead
3. Fed speakers ahead
The flow of remarks from Federal Reserve (Fed) officials was set to continue on Wednesday with market participants hoping to glean clues as to the overall stance of the U.S. central bank on the next step forward in monetary policy.
After the close on Tuesday, Minneapolis Fed chief Neel Kashkari commented that there is no urgency to raise rates due to low inflation, while Cleveland Fed president Loretta Mester repeated that it was still too early to judge the impact of the Brexit on the U.S. economy.
Both Dallas Fed president Robert Kaplan and Philadelphia Fed head Patrick Harker were scheduled for Q&As later on Wednesday.
Late Tuesday, Fed fund futures put the odds at 98.8% that the central bank would keep rates unchanged at the July 26-27 meeting, with the probability of a 25 basis point (bp) cut at 1.2%.
4. Worrying signs from Japan and China
4. Worrying signs from Japan and China
Japan’s government cut both inflation and growth forecasts for this year on Wednesday.
For 2017, the official forecast was placed at a 1.4% increase in consumer prices, highlighting the Bank of Japan’s (BoJ) difficulty in reaching its 2% inflation target.
The growth forecast for the world’s second largest economy was slashed to 0.9% in the current fiscal year, compared to January’s projection of 1.7%.
Over in China, the world’s second largest economy saw both exports and imports take a worse-than-expected tumble in June, underlining concern over global demand.
