All eyes – through pleated fingers – are on the presidential debate between Biden and Trump that’s set to start in Atlanta in the next hour or so.
It’s hard to say what impact the contest, tipped to be viewed by 60 million Americans, will have on the markets. But there’s little doubt that it is adding to the sense that, geopolitically speaking, the world is a little off kilter right now.
The Australian share market is poised to open flat, say ASX futures, at 7,735 points.
Overnight, US share markets edged higher yesterday as investors awaited new US inflation data.
US markets up
The Dow Jones increased by 36 points or 0.1%, the S&P 500 also rose by 0.1%, and the Nasdaq Composite Index added 53.5 points or 0.3%.
Megacap stocks underwent modest gains, supported by a decline in US Treasury yields following continued signs of an economic slowdown.
Alphabet (NASDAQ:GOOGL) and Meta Platforms increased between 0.8% and 1.3%, while Amazon.com (NASDAQ:AMZN) rose by 2.2%.
Server manufacturer Super Micro Computer led gains on the S&P 500 index with a 7.1% increase.
Conversely, Micron Technology (NASDAQ:MU) fell by 7.1% after its fourth-quarter revenue forecast failed to meet investor expectations amid the artificial intelligence boom.
Walgreens Boots Alliance (NASDAQ:WBA) experienced a significant drop of 22.2% following a guidance cut.
In economic data, the US economy grew by 1.4% in the March quarter, matching expectations.
Initial jobless claims decreased by 6,000 to 233,000 last week. Durable goods orders increased by 0.1% in May, while pending home sales fell by 2.1%.
European markets slow
European share markets fell on Thursday due to investor caution ahead of critical global economic data and the first round of French elections.
Retailer H&M dropped 13% after missing quarterly profit forecasts, contributing to a 1.9% decline in retail stocks.
Basic resources dipped by 0.9%, with Anglo American (JO:AGLJ) falling 1.5% after Berenberg downgraded the stock from "hold" to "sell" over concerns about the company's new strategic plans.
Sweden's central bank, Riksbank, maintained its key interest rate at 3.75% and indicated potential rate cuts if inflation remains stable.
The FTSEurofirst 300 index slid by 0.4%, and the UK FTSE 100 index ended 0.6% lower.
Currencies and commodities
Currencies were mixed against the US dollar.
The Euro rose to US$1.0705, the Australian dollar dipped to 66.50 US cents, and the Japanese yen eased to JPY160.75 per US dollar.
Global oil prices increased by 1% due to supply concerns driven by geopolitical tensions in the Middle East and Europe.
Brent crude rose by US$1.14 to US$86.39 a barrel, and the US Nymex crude price increased by 84 US cents to US$81.74 a barrel.
Base metal prices declined, with copper futures down 0.9% and aluminium futures down 0.3%.
The gold futures price rose by US$23.40 to US$2,336.60 an ounce, driven by a softer US dollar and anticipation of key US inflation data.
Spot gold traded near US$2,327 an ounce. Iron ore futures dipped by 5 US cents to US$106.51 a tonne due to weak Chinese industrial profits data and concerns about high portside stockpiles.