(RTTNews) – European stocks may drift lower on Tuesday as investors fret about Fed independence and await Nvidia earnings due Wednesday for guidance and signs the AI market remains robust.
Asian markets fell after U.S. President Donald Trump said on social media he was removing Lisa Cook from her position on the Fed’s board of directors, the latest in a series of attacks on the central bank’s independence.
Trump said there was enough evidence that Cook had made false statements on mortgage applications.
The dollar and U.S. Treasuries slid ahead of key U.S. economic data due later in the day, including reports on durable goods orders and consumer confidence.
The Case-Shiller Home Price Index and the Richmond Fed Manufacturing Index are also due.
Richmond Federal Reserve President Thomas Barkin will speak before the Montgomery County Chamber of Commerce.
The Fed’s preferred readings on consumer price inflation will be released on Friday and analysts say that inflation likely stayed too hot for comfort in July.
The Europeaneconomic calendarremains light, with consumer sentiment survey data from France awaited later in the day. The sentiment index is expected to rise to 90 in August from 89 in July.
Gold edged up slightly to hover above $3,370 per ounce in Asian trade while oil prices dipped after a four-day advance ahead of the doubling of Indian tariffs.
U.S. stocks fell overnight as investors took profits after Friday’s big rally on Fed Chair Jerome Powell’s dovish surprise. The Dow shed 0.8 percent, the S&P 500 gave up 0.4 percent and the tech-heavy Nasdaq Composite eased 0.2 percent.
European stocks closed on a weak note on Monday as investors looked for more details about the U.S. – EU trade deal.
The pan European STOXX 600 declined 0.4 percent. The German DAX dipped 0.4 percent and France’s CAC 40 lost 1.6 percent while the U.K. markets were closed for a public holiday.
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