Oil Retreat drags stocks lower - Europe Market Wrap

- US futures were in flux, with Apple likely to deepen losses and energy companies being negatively impacted by the decline in oil prices.
- The Nasdaq 100 contracts moved lower, with Apple down 0.4% in premarket trading amid worries that the high cost of its much-awaited mixed-reality headset may slow down sales. Once Taiwan Semiconductor Manufacturing, the primary chip supplier to Apple, disclosed that capital spending will be at the lower end of its guidance range, European semiconductor companies experienced a decline.
- Chevron declined 1%, and the main stock index in Europe was also hurt by drops in Shell and BP after crude lost all of the gains it had made due to the news of Saudi Arabia's production cut.
- Global equities markets were in a cautious mood. Traders have the impression that markets have risen too quickly due to the euphoria around artificial intelligence, with the S&P 500 on the verge of a new bull market.
- As a result of the European Central Bank's announcement that consumer inflation expectations in the eurozone declined sharply in April, the euro fell and German bonds rose on Tuesday.
- Wheat prices rose after Ukraine said that Russian forces had blown up a sizable dam in the country's south, releasing a torrent of floodwater that might endanger food supplies for the Black Sea and imperil thousands of people. Prices increased 3.6% on Tuesday, continuing their upward trend from last week's 30-month low.
- ECB: Consumer expectations decreased significantly.
- China asks the biggest banks to cut deposit rates to boost the economy.
- RBA: Further monetary policy tightening may be required. Labor market conditions have softened but remain extremely tight.