WINNIPEG, July 31 (MarketsFarm) – The following is a glance at the news moving markets in Canada and globally.
– Negotiators for the United States and China met for an extra session of trade talks on Wednesday in Shanghai. Both sides deemed the half-day session to have been constructive, with discussions including China making additional purchases of U.S. farm goods, and an agreement to meet again in September. High level negotiators met Monday and Tuesday, for their first-face-to-face meetings since May.
– There are strong expectations that the U.S. Federal Reserve will cut interest rates on Wednesday, for the first time in 10 years. Some market analysts predicted a cut of up to 25 basis points. The reasoning for the cut, if the Fed does so, is to wiggle the U.S. out its slowing economy due to its trade war with China. While the Bank of Canada will be watching the Fed carefully today, Canada’s central bank has not indicated it will follow suit.
– North Korea carried out two more missile tests on Wednesday, according to the South Korean military. The tests follow two previous launches of short-range ballistic missiles on July 25. The missiles were said to be capable of maneuvering in flight to avoid anti-missile defence systems. The tests come prior to a visit to South Korea by the newly appointed U.S. Secretary of Defence and the annual U.S./South Korean military exercises.