Stocks, U.S. futures mixed ahead of earnings, Fed
BNN Bloomberg
Stocks and US futures were mixed on Tuesday amid caution in global markets ahead of the Federal Reserve interest-rate hike.
European energy and mining stocks rallied with oil and metals, while retailers and banks fell. UBS Group AG dropped more than 5 per cent after reporting weaker-than-expected profit, while Walmart Inc. tumbled in US premarket trading on its surprise warning and Alibaba Group Holding Ltd. jumped amid plans to seek a primary listing in Hong Kong.
Traders are braced for a widely expected 75 basis points Fed rate rise on Wednesday, part of campaign to tackle inflation, as well as corporate reports from the likes of Apple Inc. and Alphabet Inc. They’re also assessing risks including ongoing disruptions to European gas supplies from Russia and China’s COVID curbs and property woes.
Commodities prices are surging as signs of tightness outweigh economic concerns. European natural gas rose to the highest level in more than four months, while crude and copper jumped. Energy ministers from the European Union’s 27 member states are meeting in Brussels to wrangle over backing a proposal from the European Commission to regulate consumption.
