US Futures Sway Lower Following S&P 500 High – Europe Market Wrap

US stock futures fell as the S&P 500 set a new closing high for the 41st time this year. Treasuries and the Dollar remained stable.

Contracts on the S&P 500 indicated a 0.2% decline in the actual index, while Europe’s Stoxx 600 gauge dipped 0.1%. SAP SE fell 4% on news that the German software developer and other companies are being investigated by US officials for allegedly scheming to overcharge federal agencies over a decade.

Traders are looking for new catalysts after the Fed‘s half-point interest-rate decrease last week boosted risk appetite and put the Dollar on course to reverse its gains this year.  China’s latest policy changes on Wednesday haven’t spread beyond Asian markets, as investors doubt whether the steps will be sufficient to stabilise the country’s faltering economy.

Central banks are under scrutiny in Europe, with Sweden’s Riksbank reducing borrowing prices and hinting at additional cuts in the coming months. In the Czech Republic, too, a policy decision is due.

China’s equities rose for a sixth day on Wednesday after the central bank cut the interest rate on its one-year policy loans by the highest in history, the latest action following its broad stimulus package announced the day before. Iron ore prices rose, and gold set a new record earlier in the session.