A look at the day ahead in European and global markets from Tom Westbrook
Markets mostly took Joe Biden’s withdrawal from the U.S. presidential race in their stride, flicking the switch from politics back to focus on earnings and interest rates.
In the U.S., a September rate cut is all but locked in to prices, and in Europe a 25 basis-point cut is expected in October.
Euro zone consumer confidence figures and U.S. existing home sales, both due on Tuesday, are unlikely to shift that outlook.
Rather, as stock markets stabilise following a sharp selloff in chipmaking companies’ shares, traders are expected to take cues from earnings due after the market close for Tesla and Alphabet, the first of the “Magnificent Seven” stocks to report.
Tesla’s profit margins are expected to have fallen while Alphabet is expected to report a fourth straight quarter of double-digit revenue growth on an uptick…
