Investing.com - Here are the top five things you need to know this morning, Wednesday, November 4:
1. Markets brace for Fed speakers
Market players will scrutinize remarks from a flood of Federal Reserve speakers on Wednesday for further clues on the likelihood of a near-term interest rate hike.
Fed Chair Janet Yellen is scheduled to appear before a congressional committee at 10:00AM Eastern Time to testify on the U.S. central bank's role in overseeing the country's financial system.
In addition, New York Fed President William Dudley is scheduled to speak about the economy, in New York at 2:30PM. At 7:30PM, Fed Vice Chair Stanley Fischer will speak on central bank independence at the National Economists Club.
The timing of a Fed rate hike has been a constant source of debate in the markets in recent months. The U.S. central bank has one more scheduled policy meeting before the end of the year in mid-December.
2. U.S. data in focus
The U.S. was to release the ADP jobs report for October at 8:15AM ET Wednesday, followed by data on the trade balance at 8:30AM.
At 10:00AM, the U.S. Institute of Supply Management is to report on service sector growth for October.
Market players are also focusing on Friday's nonfarm payrolls report. The consensus forecast is that the data will show jobs growth of 182,000 in October, following an increase of 142,000 in September, while the unemployment rate is forecast to hold steady at 5.1%.
A strong U.S. nonfarm payrolls report was likely to add to speculation over when the Federal Reserve will begin to raise interest rates, while a weak number could undermine the argument for an early rate hike.
3. Wall Street points to higher open
U.S. stock futures pointed to modest gains at the open on Wednesday, as investors looked ahead to the release of key economic data while awaiting remarks from a slew of Fed policymakers.
On Tuesday, U.S. stocks ended higher thanks to strong gains in the tech and energy sectors.
4. U.S. earnings season continues
Lumber Liquidators Holdings Inc (N:LL), Time Warner Inc (N:TWX), 21st Century Fox Inc (O:FOX), Michael Kors Holdings Limited (N:KORS), Wendy's (O:WEN), Avon Products (N:AVP), Sodastream International Ltd (O:SODA) and Virtu Financial Inc (O:VIRT) and will report earnings ahead of the opening bell.
After the market closes, Facebook (O:FB), Godaddy Inc (N:GDDY), Whole Foods Market Inc (O:WFM) and Qualcomm (O:QCOM) are on the earnings docket.
5. Volkswagen (DE:VOWG) shares plunge 8% on more pollution problems
Shares of German automaker Volkswagen (DE:VOWG_p) tumbled on Wednesday after saying it found faulty emissions readings for the first time in gasoline-powered vehicles. An internal probe reportedly showed 800,000 cars had "unexplained inconsistencies" concerning their carbon-dioxide output and cost it at least an extra €2 billion.