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Top 5 Things to Know in the Market on Tuesday

Published 25/09/2018, 07:37 pm
© Reuters.  Here's what you should know in the market on Tuesday.
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Investing.com - Here are the top five things you need to know in financial markets on Tuesday, September 25:

1. Trump Addresses the UN

U.S. President Donald Trump is expected to address the United Nations General Assembly today, with many expecting to hear his “America First” rhetoric. He plans to discuss state sovereignty and American interests, U.S. ambassador, Nikki Haley, told the New York Times.

Iranian President Hassan Rouhani is also in New York for the assembly. He said Monday he would consider new talks with Washington if Trump honored the 2015 nuclear accord. Tehran faces increased sanctions aimed at its oil supply after the U.S. pulled out of the deal in May.

2. U.S. and Japanese Officials Begin Trade Talks

U.S. trade representatives and Japan’s economy minister meet for a second round of trade talks that were postponed from Monday. The talks are ahead of a meeting between Trump and Prime Minister Shinzo Abe on Wednesday at the UN General Assembly.

Abe and Trump had dinner on Sunday, which Abe told reporters lead to constructive talks on trade.

Japan wants to stop import tariffs on its cars and fend off U.S. demands for a free-trade agreement. The country is considering lowering tariffs on U.S. agriculture in exchange for avoiding higher auto tariffs.

3. U.S. Futures Inch Forward

U.S. futures pointed to a slightly higher opening bell on Wall Street as the Federal Reserve begins its two-day policy meeting.

The S&P 500 futures rose 0.12% while Dow futures gained 0.12% and tech heavy Nasdaq 100 futures increased 0.01%.

Meanwhile trading in Europe was higher, with gains in Germany’s DAX, France’s CAC 40 and London’s FTSE 100.

Asian stocks ended the day mostly in the red, with the Shanghai Composite down 0.58%,and the SZSE Component index falling 0.66%. The China A50 Index of China’s biggest companies dipped 1.25%, while in Japan, the TOPIX rose 01.02% and the Nikkei 225 inched up 0.15%.

4. Oil Prices Hit a 4-year High

Oil prices continued to rise on Tuesday after hitting a four-year high on Monday.

Upcoming U.S. sanctions against Iran and refusal of the Organization of the Petroleum Exporting Countries to raise output helped bolster prices. The group of oil producers met in Algiers on Sunday to discuss rising output to counter falling Iranian supplies due to U.S. sanctions but made no formal recommendation for any additional supply boost.

West Texas Crude oil futures for November increased to $72.52 a barrel, while Brent crude futures, the benchmark for oil prices outside the U.S., climbed to over $81 a barrel.

5. Nike (NYSE:NKE) Reports Earnings After the Closing Bell

Nike posts earnings results after the closing bell, the first since its controversial ad-campaign featuring former NFL quarterback Colin Kaepernick.

Sales at the athletic apparel company jumped 31% after the launch of the ads.

Kaepernick was the star of Nike’s “Just Do It” anniversary campaign and one of the football players who kneeled during the national anthem to protest racism. The actions prompted harsh criticism of Kaepernick and others from Trump.

On average, analysts expect that the athletic wear giant will report a profit of 62 cents per share on revenue of about $9.9 billion.

Other companies releasing their earnings results include KB Home (NYSE:KBH) and Jabil Circuit (NYSE:JBL).

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