Morning Juice – Europe Session Prep

Good Morning Traders.
It is Tuesday, the 28th of July. Here is what to look out for today.

Sentiment

Citadel Securities expects the Fed to raise interest rates this week, a surprise outcome that would strengthen Fed Chair Warsh’s credibility in the fight against inflation.

Oil extended its recent decline after Trump said the US and Iran were engaged in diplomatic talks aimed at ending the Middle East conflict. However, he warned that military action could resume if negotiations fail to produce a deal.

In Australia, the RBA Governor said there are signs the economy is evolving as expected, although it remains unclear whether this year’s interest rate hikes will be sufficient to bring inflation back to target.

Meanwhile, the global selloff in semiconductor stocks deepened as investors grew increasingly concerned that the pace of AI spending may be difficult to sustain, weighing further on sentiment across the technology sector.