Bonds & Stocks
US equity futures dropped as this month’s rally stalled amid a lack of catalysts. Treasury yields and the dollar rose.
Contracts on the tech-heavy Nasdaq 100 fell 0.5% and those on the S&P 500 also slipped. Shopify Inc. shares tumbled 19% in early trading after the e-commerce company said gross margins would decrease as a result of the sale of its logistics business.
Economy
Surging rents across many developed economies are proving to be a stubborn hurdle for central banks as they struggle to nail down inflation once and for all this tightening cycle.
In the US, UK, Canada and Australia, rapidly rising housing costs — which have a hefty weighting in consumer price index baskets — are preventing inflation from declining closer to central banks’ targeted levels.
World
The UK is expelling a top Russian diplomat, Home Secretary James Cleverly told Parliament, as part of a crackdown on what he said was Moscow’s intelligence-gathering in Britain.. The moves included deporting the country’s defense attaché, whom Cleverly said was an undeclared intelligence agent, and stripping several Russia-owned properties of diplomatic status, Cleverly told MPs on Wednesday.