12:31 — Fed's Warsh debut dominates as Wall Street prepares to open with Nasdaq down 1%
Today, Wall Street faces its first session awaiting comment from new Federal Reserve chair Kevin Warsh, albeit traders likely won't find distraction from economic fundamentals to be very far away.
Warsh, who a month ago took the reins from Jerome Powell and was championed by Donald Trump (who wants lower rates), will hold his first press conference as Fed chair.
Today is, however, expected to be about commentary and messaging more than moving the economic dials.
As Warsh gets his feet under the table, interest rates are expected to hold steady, but the commentary and opinion surrounding the Fed's forward guidance will continue to stir.
Peace in the Middle East (and what that means for crude oil and energy prices) will be among the items likely on the agenda for Warsh.
The Iran peace framework, a reported 14-point de-escalation package covering a permanent ceasefire, lifting of the US naval blockade, and reopening of the Strait of Hormuz, has driven Brent crude into a fourth consecutive decline, with the energy complex down sharply.
Gold is holding near flat at $4,349.9.
Back on this side of the pond, London is effectively marking time at 10,490.98, down just 0.03% and basically flat.
In Europe, BMW delivered a profit warning, citing China weakness and the global economic impact of the Iran conflict, which evidently dimmed the appeal of a German whip.
09:01 — FTSE 100 shows tepid activity, UK inflation prints lower than forecast
London's blue-chip benchmark regressed in the first of hour of Wednesday's trade, slipping 0.24% to around 10,469, though it's mostly fence-stopping in the session's early exchanges.
At the top end of the market, attention was on UK inflation data, which, at 2.8%, marked below economist forecasts despite upward pressure from airfares and petrol prices driven by Brent crude trading around $100 a barrel for much of the month.
Danni Hewson, head of financial analysis at investment platform AJ Bell, said the figures offer cautious relief for households, noting that food prices fell 0.1% between April and May and that annual food inflation dropped to 2.2%, its lowest since December 2024.
A more troubling signal, Hewson argued, came from producer input prices, which jumped 8.7% in May, the largest annual increase since February 2023, while core inflation also edged higher as the services sector passed on additional costs.
Away from the blue-chips, there were notable movers, payments technology small-cap RC365 Holding, up over 20%, announced a deal with Asian cruise operator StarCruises, to rollout its POS app supporting merchant payments aboard its fleet.
Elsewhere, GS Technologies was 24.75% higher, at 0.499p, after announcing a $10m loan facility.
Oriole Resources shares climbed 6.82% to 0.36p after announcing maiden drilling is set to commence at its Wapouzé Limestone Project in West Africa.
Cadence Minerals is up 9.7% at 7.35p after confirming mobilisation at the Amapá Iron Ore Project in Brazil is complete, and the refurbishment programme remains on schedule.
08:00 — Early headlines: Social Housing REIT, PZ Cusssons, 80 Mile, Guardian Metals, Frontier IP
Among the morning's early headlines, Social Housing REIT expanded its mandate with a conditional acquisition of a senior living portfolio, to be funded through cash and shares issued at EPRA NTA. The deal is structured to deliver high-single digit EPS accretion in the first full financial year, and the company is simultaneously proposing a change to its investment objective and policy to reflect the strategic shift.
Elsewhere, attention was on PZ Cussons trading update, Hays' divestment as well as numbers from Speedy Hire.
Among the small-caps, 80 Mile has received written confirmation from the Greenlandic regulator that no third-party licence can be granted over its hydrocarbon concessions in the Jameson Land Basin, East Greenland, removing the risk of competing claims over the company's existing licence area.
Oriole Resources is commencing maiden drilling at its Wapouzé Limestone Project in Central or West Africa, marking the first drill programme at the site.
Guardian Metal Resources is acquiring Lincoln Estates Group, adding 841 acres of real property and 2,540 acre-feet of annual water rights in Nevada, located less than ten miles from its Tempiute Tungsten Project.
Frontier IP Group has completed a placing and subscription, though the financial terms of the raise are not disclosed in the announcement.
Deutsche Bank has cut Rathbones to Hold with a target of 1,700p, down from 2,100p, following a regulatory update and profit warning. Separately, the bank rates Baltic Classifieds Group and Pets at Home at Buy, with targets of 278p and 230p respectively, ahead of Baltic's 2 July full-year results.
06:01 — Nasdaq drags on Wall Street as Dow hits record; Asia steady ahead of London open
Wall Street closed last night's session in opposite directions, with the Dow Jones Industrial Average gaining 0.73% to 52,050, a record close, while the Nasdaq Composite dropped 1.0% to 26,417 and the S&P 500 slipped 0.43% to 7,521.
Overnight, Asian markets held their footing. Japan's Nikkei 225 edged up 0.39% to 69,677.
In currencies and commodities, the Dollar Index is near-flat at 99.51, and gold sits at $4,342, off 0.28% from the previous session.
Having closed its previous session at 10,495, up 0.62%, the FTSE 100 is potentially set for tentative begining on Wednesday.
05:01 — London looking at cautious open
Macro conditions are broadly neutral ahead of the London open.
The Dollar Index is flat at 99.53, and gold futures are little changed at $4352.7.
In the crypto markets, Ethereum posted a notably stronger overnight move, up 3.97% to $1792.9, against Bitcoin's near-flat 0.1% gain to $65774.8.
The VIX, the so-called volatility index, last closed at 16.14, suggesting no acute stress signal from US options markets.
