Investing.com - The Australian Stock Exchange slipped at Wednesday's open, mirroring a decline in the New York market as US equities weaken for a second consecutive session, while bond yields continue to rise.
Tesla Inc (NASDAQ:TSLA) fell by 4.9% after the electric vehicle giant reported an unexpected drop in deliveries, despite analysts repeatedly lowering their forecasts.
Oil prices briefly surpassed $US89 a barrel, fueled by escalating tensions in the Middle East following the assassination of several high-ranking Iranian military officials in Damascus and the killing of seven humanitarian aid workers, including one Australian, in Gaza by Israel. Meanwhile, coffee prices reached a new all-time high, and oil reestablished its record high above $US2276 an ounce.
During Tuesday's regular trade, the Dow Jones Industrial Average and NASDAQ Composite fell 1% respectively while the S&P 500 lost 0.7%.
The yield on the United States 10-Year note rose by 5 basis points to 4.36% as of 4.51pm in New York.
Regarding the Federal Reserve's policy, two officials reaffirmed their expectation for interest rates to decline this year. San Francisco Fed President Mary Daly suggested that three quarter-point cuts still form a "reasonable baseline." Concurrently, Loretta Mester, the head of the Cleveland Fed, also expressed her belief that three cuts are likely appropriate.
Ridley Corporation Ltd (ASX:RIC) is set to trade ex-dividend on Wednesday.
While no local data is expected to be released, international data to watch for includes China's Caixin services PMI for March at 12.45pm, Eurozone's CPI for March at 8pm, the US ADP employment report for March at 11.15pm, and the March ISM non-manufacturing PMI.