Morning Wrap: ASX 200 to edge lower, copper prices hit two-year highs, Anglo American rejects BHP's revised offer

ASX 200 futures are trading 52 points lower, down -0.68% as of 8:30 am AEST.

Stocks are expected to start Tuesday's session lower, following a mixed lead from Wall Street. Equity investors are eyeing some key moves in the commodities market - chief among them, copper prices hitting a fresh two-year high.

And speaking of copper, BHP has revealed that Anglo American has turned down its revised takeover offer of nearly US$43 billion. For macro investors, all eyes will turn to tonight's Budget and what will likely be a $9 billion surplus.

Let's dive in.

S&P 500 SESSION CHART

A 25 point trading range indicates traders are waiting and watching for Wednesday's US CPI and retail sales prints. (Source: TradingView)

OVERNIGHT MARKETS

• Dow slips for first losing day in nine as consumers’ expectations for inflation rise

• European markets close mixed as traders look ahead to U.S. inflation data; Maersk up 7%

• Treasury yields dip as investors look to key data in week ahead

• Oil prices gain on demand optimism, attention shifts to U.S. inflation

• Gold dips as traders await U.S. inflation data for more Fed rate cut cues

• Copper prices hit 2-year high, entering overbought territory

INTERNATIONAL STOCKS

• GameStop, AMC soar more than 70% each as ‘Roaring Kitty’ meme trader resurfaces

• Intel rises on report of $11 billion Apollo investment in new chip plant

• BHP says Anglo American rejected $42.7 billion revised proposal

CENTRAL BANKS

• BOJ announces smaller JGB purchase operation for the first time since ending YCC

• Asian central banks are increasingly taking action to boost currency protection against strong US dollar

• PBOC contacts brokers over long-dated bond pricing that will be used to support investment

• BoE may cut interest rates more cautiously than usual because this economic recovery is different from past recessions

• RBI intervention fears dent hopes that rupee will stage a rebound

ECONOMY

• Australia’s budget is expected to target housing crisis as prices keep climbing

• Underlying US inflation probably moderated in April for first time in six months, offering mild relief for Fed

• China's credit contraction adding pressure on the government to spend more money, PBOC to help

• Economists predict faster growth for the Eurozone economy in 2024 citing improving economic conditions

Upcoming floats and listings

• Sun Silver – 15 May @ 11am

Companies trading ex-dividend:

• Tasmea (TEA)– 14 May - $0.025

• Sandon Capital Investments (SNC) – 15 May - $0.028

• Autosports Group (ASG) – 16 May - $0.10

Economic calendar (AEST):

• 4:00pm – GBP – Claimant count change, average earnings, unemployment rate

• Tentative – CNY – Foreign direct investment

• 7:30pm - AUD - Federal Budget Speech

This Morning Wrap was written by Hans Lee and Chris Conway.