Germany Faced 7.9 Percent Inflation in August

Although today American equities opened slightly higher, yesterday the U.S. major indices fell for a second straight session following hawkish comments from Federal Reserve policymakers. The Dow closed the session 0.6% lower, the S&P 500 shed 0.7%, and the Nasdaq Composite had contracted 1%.

Energy companies dominated the list of best-performing stocks in the S&P 500, as oil prices rallied. Shares of APA Corp. (APA), Halliburton (HAL), Marathon Oil (MRO), Schlumberger (SLB), and Occidental Petroleum (OXY) were among the top gainers as crude oil prices surged amid rumors over possible production cuts by OPEC. The price of West Texas Intermediate (WTI) crude rose over 4% higher at $97 per barrel.

As to the biggest investors' worry in focus, as part of a broader plan to reduce a $9 trillion portfolio, the Fed promised to boost its monthly caps for the amount of Treasuries and holdings of MBSs (mortgage-backed securities) that it will let mature. Meanwhile, fresh economic data is on the docket for tonight, including the Conference Board’s latest consumer confidence survey, JOLTS job openings data today, and the FHFA House Price Index.

Prices for major cryptocurrencies rose, rallying off of recent lows. The price of Bitcoin (BTCUSD) edged 0.7% higher, back above the $20,000 level. The price of Ethereum (ETHUSD) was up 3.8% to almost $1,600 at the time of writing.

Corporatewise, Best Buy (BBY) managed to beat Wall Street’s modest expectations for sales and profit during its fiscal second quarter, as the big box electronics retailer suffered from lower consumer demand. According to preliminary data published earlier today by the Federal Statistical Office DeStatis, Germany's annual inflation rate rose to a higher-than-expected 7.9% in August MoM. The monthly figure reflected exacerbating price pressures, with consumer prices rising by the expected 0.3%. Consumer credit in the UK rose by £1.425 billion in July.

Russia’ gas giant Gazprom communicated to French utility Engie SA the risk of reducing gas deliveries because of disagreements over some contracts. “We’re getting ready for the worst-case scenario, which is a complete cut-off,” French Energy Transition Minister Agnes Pannier-Runacher said in a recent radio interview. Meanwhile, as of 4:15 p.m. CET, European markets are trading sideways. The Pan European Stoxx Europe 600 Index retreated just 0.05%, British FTSE 100 shed 0.37% while the French CAC 40 Index rose 0.39%, and German DAX gained 0.97%.

Asian markets also traded mixed earlier this morning. Japan’s Nikkei 225 rose 1.14%, Australia’s S&P/ASX 200 rose 0.5%, while India’s S&P BSE Sensex surged 2.3%. However, China’s Shanghai Composite fell 0.42%, while Hong Kong’s Hang Seng Index eased by 0.37%.