LONDON (AP) European stock markets showed uncertainty, and U.S. equity futures declined due to ongoing concerns about China’s economic outlook. The persistent worry over China’s economy had a global impact on markets, overshadowing some positive corporate news and earnings. Futures for the S&P 500 and Nasdaq 100 were indicating a down day on Wall Street after Monday’s public holiday.
One of the major concerns for investors was the anticipated earnings report from Nvidia Corp., with the company’s stocks declining in pre-market trading. The outcome of Nvidia’s earnings report could potentially shape the market’s direction and provide insight into the strength of the global economy. The company’s presence in the market has been significant, especially in relation to artificial intelligence developments.
The Stoxx Europe 600 index saw a slight dip, potentially breaking a recent four-day rising streak. Additionally, a fall in iron ore prices led to a decline in basic-resources stocks. On the other hand, the chemicals sub-sector saw some positive movements, with companies like Air Liquide SA and Barclays Plc seeing notable increases in stock value.
Meanwhile, Asian stocks also experienced a decrease, especially after China’s reduction in mortgage reference rate failed to dispel concerns about the country’s economy. The reduction was viewed as a positive gesture by some analysts, but the broader economic concerns remained.
In the midst of these market movements, potential catalysts for the week included the release of Fed January meeting minutes and Eurozone inflation data. This week also saw key events such as Rio Tinto Plc earnings and Eurozone consumer confidence data releases.
Overall, the global market landscape was shaped by ongoing concerns about the Chinese economy, awaiting key earnings reports and economic data releases to provide clarity on the market’s trajectory.