Dow Jones posts three-day slide ahead of Fed chairman's testimony

Australian shares are expected to open with solid gains despite a mixed performance across global markets.

The Australian dollar, meanwhile, had fallen to 69.3 US cents, a moderate drop of 0.6 per cent.

Market snapshot at 8:00am (AEST):ASX SPI futures +0.5pc at 6,632, ASX 200 (Tuesday’s close) -0.1pc at 6,666AUD: 69.3 US cents, 55.6 British pence, 61.83 euro cents, 75.43 Japanese yen, $NZ1.05US: Dow Jones -0.1pc at 26,783, S&P 500 +0.1pc at 2,980, Nasdaq +0.5pc at 8,142Europe: FTSE 100 -0,2pc at 7,536, DAX -0.9pc at 12,437, CAC -0.3pc at 5,572, Euro Stoxx 50 -0.4pc at 3,510Commodities: Brent crude +0.6pc at $US64.51/barrel, spot gold flat at $US1,397.40/ounce, iron ore +1.8pc at $US121.40/tonne

In local economic news, Westpac will release its latest consumer sentiment report today.

Last month’s result showed consumers were feeling a lot more pessimistic about the economy after the Reserve Bank slashed interest rates for the first time in almost three years.

Today’s result will reveal how they are taking last week’s rate cut by the RBA, its second in two months.

Wall Street awaits Fed testimony

The Dow Jones has posted a three-day losing streak. The industrial-skewed index drifted 23 points below its break-even point, closing at 26,783.

The broader S&P 500 rose 0.1 per cent.

The tech-heavy Nasdaq lifted 0.5 per cent, driven by Netflix (+1pc), Facebook (+1.8pc) and Amazon (+1.8pc) shares.

Investors are bracing for remarks from US Federal Reserve chairman Jerome Powell during his two-day testimony before Congress, which starts on Wednesday (local time).

Also due on Wednesday is the release of the central bank’s June policy meeting minutes.

Wall Street’s main indices have retreated from their record closing highs after a robust June jobs report last Friday tempered expectations of an aggressive 50-basis-point interest rate cut by the Fed.

“Equities could

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