By Tyler Durden
S&P futures are flat after Monday’s drop in the S&P 500 where a rout in Apple weighed on tech companies and tensions with North Korea persist; Asian stocks are modestly lower while Europe has shaken off the Korean crisis and is in the green on the back of a sharp drop in the EURUSD which has tumbled below 1.18 as the USD rises ahead of much anticipated speeches by the Fed Chair and the French president.
At 12:45pm ET Janet Yellen is due to speak at an economics conference in Cleveland on the topic of “inflation, uncertainty and monetary policy”, while other U.S. and European central bankers will also offer more clues to the path of monetary policy. Investors will be parsing Yellen’s words for clues on whether the U.S. central bank will stick to plans to raise interest rates in December. “Investors are not fully up to speed with the risk of hawkish signals from Fed officials,” Mizuho strategist Antoine Bouvet said. “The Fed is back in a situation where it would want to show optimism at the very least, and the market should be pricing in more hikes in the coming months and quarters than it is currently.” …read more