From Nasdaq:

Asia-Pacific equity markets closed lower, led by declines in Australia, Japan, and South Korea. European markets are down, and U.S. equity futures are pointing to a lower open as Treasury yields move above 4%. Oil prices rise due to escalating conflict in the Red Sea, with the International Monetary Fund’s report indicating that AI could impact nearly 40% of global employment.

China’s central bank left its medium-term policy loan rate unchanged, while Euro Area inflation expectations dipped in November. The European Central Bank is expected to lower interest rates this year, with the market seeing six rate cuts with the first move coming in March or April. The International Monetary Fund’s recent AI report shows how AI could impact global employment.

U.S. lawmakers agreed on another temporary spending bill to keep the government funded until early March. FedEx CEO Raj Subramaniam shared that the company has not seen a major shift to air freight despite Red Sea disruptions. Atlanta Fed president Raphael Bostic does not foresee quick action on rates to prevent inflation from rising again.

Donald J. Trump won the largest margin in the first Republican presidential nominating contest for the upcoming election. In the markets, inflation, earnings, and Red Sea shipping updates kept equities in check, with the major market indicators showing mixed performance year-to-date.

Goldman Sachs, Morgan Stanley, and PNC are expected to release quarterly earnings, and Apple is offering rare discounts on iPhones in China. Walt Disney and the NFL are in discussions that could result in the NFL taking an equity stake in ESPN. Microsoft announced the availability of Copilot Pro, a new subscription, and Deere said it would tap SpaceX’s satellite fleet for its digital farming push.

A lawsuit has been filed to block the merger of grocery chains Kroger and Albertsons, with Kroger now expecting the transaction to close in the first half of its fiscal year. After the markets close, Hancock Whitney, Interactive Brokers, Pinnacle Software and Progress Software are expected to report their quarterly earnings.



Read more: Daily Markets: Shipping Delays, Oil Prices Put Inflation Back in Spotlight