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Markets Pause Ahead of Busy Data and Fed Speakers

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WORLD HEADLINES – The euro bounced off six-week lows on Wednesday, European shares rose and Italian bonds rallied as some of the worries that have rippled across markets this week were soothed by signs Rome was amenable to cutting budget deficits and debt in coming years.

STOCKS – Wall Street appeared set for a firmer open, with futures for the S&P 500 the Dow up around 0.2 percent. Volatility in U.S. tech shares may be making investors wary, with Facebook down almost 6 percent in the past three sessions after disclosing its worst security breach ever.

BONDS – Treasuries traded sideways ahead of today’s busy economic data releases and Fed speakers.

COMMODITIES – Gold traded near its highest level in more than a week as investors sought refuge in the safe haven asset after equity markets weakened. Oil prices held close to four-year highs on supply worries due to Washington’s sanctions on Iran.

CURRENCIES – The euro, which had hit a six-week trough of $1.1506 after suffering five straight days of losses, firmed 0.3 percent.

ECONOMIC DATA – FOMC Member Barkin Speaks at 8:05, ADP Non-Farm Employment Change at 8:15, ISM Non-Manufacturing PMI, Crude Oil Inventories at 10:30, FOMC Member Brainard Speaks at 14:00, FOMC Member Mester Speaks at 14:15, Fed Chair Powell Speaks at 16:00 ET.

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