Geopolitical risks are fading further Wednesday, allowing investors to focus on improving company earnings.
U.S. stock futures were edging higher. Here are the four things you need to know before the opening bell rings in New York:
1. World markets gain: Major indexes across Europe were firmer after EU officials stopped short of imposing tough economic sanctions on Moscow.
Still, the relief could be short-lived as Europe demanded Russia’s “full and immediate” cooperation over Ukraine or risk losing access to European finance, defense equipment and energy technology. Russia’s Micex index was up 0.6%, while Germany’s Dax gained 0.4%.
Asian markets were mainly firmer. Indonesia markets were helped by news that former Jakarta governor Joko Widodo had won the presidential election.
2. Big earnings day: Investors will have plenty of earnings to digest Wednesday. Boeing, Delta Air Lines, Dow Chemical, PepsiCo will report earnings before the opening bell. AT&T and Facebook will report after the close.
3. Stock market movers — Apple, Microsoft, Deutsche Bank: Shares of Apple fell 0.3% premarket. The company reported a jump in sales and profit for the last quarter, but lowered sales projections for the current quarter. Microsoft sales beat Wall Street expectations, sending its shares up 0.5% premarket.
Deutsche Bank shares fell 1.6% in Frankfurt trading after the Wall Street Journal reported that the New York Federal Reserve had serious concerns about internal supervision and regulation at the bank’s U.S. operations.
4. Tuesday markets recap: U.S. stocks closed higher Tuesday. The Dow Jones Industrial Average rose more than 60 points and is within spitting distance of its record close, which occurred last week. The S&P 500 gained about half a percent while the Nasdaq closed up 0.7%.
