China Factory PMI Seen Returning to Growth in June as AI Export Demand Supports Economy 
China Sets 1.25% Overnight Reverse Repo Rate Below Market Expectations 
Asian Currencies Trade Mixed as Yen Hovers Near 40-Year Low, Dollar Holds Firm on Fed Outlook 
Oil Prices Drop as Middle East Supply Recovery Eases Market Concerns 
Morgan Stanley Sees Chinese Auto Market Recovery Gaining Momentum in Late Summer 
Oil Prices Rebound as Strait of Hormuz Tensions Return After Ship Attack Near Oman 
Gold Price Falls as Fed Rate Hike Fears and U.S.-Iran Tensions Weigh on Bullion 
Japan Targets 1%+ Real Economic Growth With ¥370 Trillion Investment Plan 
Economic pessimism has set in – but there are reasons for Australians to be hopeful 
South Korea’s KOSPI Plunges as Apple Price Hikes and OpenAI IPO Delay Shake AI Chip Stocks 
US Stock Futures Rise as US-Iran Ceasefire Hopes Boost Market Sentiment 
Iran Attack in Strait of Hormuz Pushes Oil Prices Higher 
Gold Prices Rise Above $4,000 as Inflation Data and Weaker Dollar Boost Demand 
US Dollar Slips After PCE Inflation Data Eases Fed Rate Hike Expectations 
Asian Stocks Slip as US-Iran Ceasefire Hopes Lift Oil, Dollar Strength Persists 
S&P Affirms Brazil’s BB Credit Rating with Stable Outlook Amid Fiscal Challenges 
Wall Street Ends Lower as AI Stocks Drag Markets, Fed Rate Outlook Shifts 
U.S. Stock Futures Decline Ahead of Corporate Earnings
Stock futures in the U.S. edged lower on Tuesday as investors prepared for a wave of quarterly earnings reports. As of 03:30 ET (07:30 GMT), Dow futures dropped 82 points (0.2%), while Nasdaq 100 futures declined by 44 points (0.2%), with the S&P 500 holding steady.
Mega-cap tech stocks, like Nvidia, had pushed the Nasdaq Composite higher in the previous session, but concerns over rising U.S. Treasury yields and lofty valuations ahead of corporate earnings led to caution. Analysts from Vital Knowledge highlighted that higher yields and elevated stock valuations fueled profit-taking after the recent market rally.
Texas Instruments and Major Earnings Reports in Focus
Tuesday will bring earnings updates from several industry leaders, including General Electric Aerospace, Danaher Corporation, Philip Morris International, and Verizon Communications. Texas Instruments, a key semiconductor player, will also report, with investors keen to gauge the demand for chips, especially amid growing interest in artificial intelligence applications.
Last week, Taiwan Semiconductor Manufacturing Co. posted better-than-expected earnings, boosting chip stocks. However, concerns over the sector's outlook persist, especially after ASML's cautious sales forecast.
Federal Reserve Rate Cuts Remain Uncertain
Four Federal Reserve officials have voiced support for additional interest rate cuts, following the 50-basis-point reduction in September. However, disagreement over the pace of these cuts remains. Some officials advocate for a gradual reduction, while San Francisco Fed President Mary Daly warns that rates may still be too tight.
