{"id":139720,"date":"2021-09-24T20:28:20","date_gmt":"2021-09-24T20:28:20","guid":{"rendered":"https:\/\/precoinnews.com\/?p=139720"},"modified":"2021-09-24T20:28:20","modified_gmt":"2021-09-24T20:28:20","slug":"stock-futures-rally-as-chinas-evergrande-negotiates-payment-fed-moves-into-focus","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/markets\/stock-futures-rally-as-chinas-evergrande-negotiates-payment-fed-moves-into-focus\/","title":{"rendered":"Stock futures rally as China's Evergrande negotiates payment, Fed moves into focus"},"content":{"rendered":"
Potomac Wealth Advisors founder and president Mark Avallone argues the underlying economy is strong enough to handle a ‘slight’ interest rate hike.<\/p>\n
U.S. stock futures rallied Wednesday morning as China’s Evergrande reached a bond payment agreement and investors looked ahead to the Federal Reserve’s latest policy decision.<\/p>\n
Dow Jones Industrial Average futures rose 196 points, or 0.58%, while S&P 500 futures and Nasdaq 100 futures advanced 0.52% and 0.3%, respectively. <\/p>\n
Embattled Chinese real estate developer Evergrande negotiated a deal to settle interest payments, soothing contagion concerns. Also on Wednesday, the People’s Bank of China injected 90 billion Chinese yuan into the banking system in a show of reassurance. <\/p>\n
Meanwhile, the Federal Reserve will on Wednesday afternoon announce its latest policy decision with investors looking for clues about when the central bank may begin tapering its asset purchases. <\/p>\n
Fed Chairman Jerome Powell said last month at the Jackson Hole symposium that any tapering announcement is not a "direct signal regarding the timing of interest rate liftoff."<\/p>\n
In stocks, FedEx Corp. reported a 7% drop in quarterly profit and cut its full-year earnings forecast due to its inability to find workers ahead of the crucial holiday season. <\/p>\n
General Mills Inc. beat on both the top and bottom lines and guided organic net sales at the high end of its previous range. <\/p>\n
Adobe Inc. announced record quarterly revenue and issued better-than-expected earnings guidance for the current quarter. <\/p>\n
Stitch Fix Inc. posted a surprise profit as the company’s new direct purchase option, as an alternative to its monthly subscription service, provided a boost.<\/p>\n
Elsewhere, Marin Software Inc. shares soared after the company entered into a revenue share agreement with Google to develop its enterprise tech platform and software products. <\/p>\n
In commodities, West Texas Intermediate crude oil surged $1.15 to $71.64 a barrel and gold slid $3.50 to $1774.60 an ounce. <\/p>\n
Overseas markets were mostly higher. <\/p>\n
European bourses rallied across the board with Britain’s FTSE 100 up 1.15%, France’s CAC 40 gaining 1.1% and Germany’s DAX 30 rising 0.59%. <\/p>\n
In Asia, China’s Shanghai Composite index jumped 0.4% while Japan’s Nikkei 225 lost 0.67%. Hong Kong’s Hang Seng index was closed for holiday. <\/p>\n