U.S. stock futures climbed higher Tuesday morning as as the dollar retreated and optimism about an economic recovery grew, leading international stocks higher. Meanwhile, at home, the Federal Reserve is poised to start its two-day policy meeting today.The Fed's two-day monetary policy meeting will culminate in a statement about the policy, including a decision on interest rates due at around 2:15 p.m. Eastern on Wednesday. As the Fed hasn't been moving rates and not changing policy much, generally investors examine the statement to get an idea about financial stimulus measures the Fed's macroeconomic outlook. Some are concerned the bank's efforts to encourage growth may be hampered by its attempts to restore financial stability at the banking system.
Economic data is very thin today with the Redbook's Retail Sales Index of department and chain store sales for September due out at 8:55 a.m. At 10 a.m., a federal July home prices index will be released, which could give further insight into the housing market.
Overseas, Asian markets closed higher Tuesday after the Asian Development Bank upgraded its growth forecasts for major economies like China and India and said the region is leading a global recovery. European stock markets followed Asia higher.
Meanwhile, as economic optimism surged, the dollar declined, and oil prices remained near $70 a barrel Tuesday after falling steeply overnight amid news that China's crude consumption fell in August.
Closing Bell: Dubai sends jitters throughout the market (S, BBY)
Heinz looking good after the second quarter?
Why isn't Bank of America updating its shareholders on CEO situation?
Reader Comments (Page 1 of 1)
9-22-2009 @ 8:48AM
John W. Taylor said...
If the federal government wasn't subsidizing the economy I would be more optimistic. The federal government has put billions and billions of dollars into play by subsidizing the purchase of cars, mortgages, and borrowing by companies. Though many would say that the housing bubble was caused by the government, the upcoming "government bubble" will be a direct result of cure being worse than the disease.