US stock indexes retreated from record highs on Tuesday, led by tech-related stocks, as another rout in Asia triggered by regulatory fears sent shockwaves into Wall Street. Investors also remained cautious as the Federal Reserve kicked off its two-day policy meeting, while concerns about the spread of the contagious Delta variant continued to weigh on sentiment. On the corporate side, earnings from 3M and GE surprised on the upside and Tesla on Monday announced stronger-than-expected earnings and a record net income of $1.1 billion.

The Composite Consumer Sentiment Index (CCSI) in South Korea decreased to 103.2 points in July of 2021 from 110.3 in the previous month. Households were less optimistic about the current state of the economy (-12 to 82) and future domestic economic conditions (-17 to 92). There was also a deterioration regarding current living standards (-2 to 91), future living standards (-3 to 96) and future household income (-2 to 98).

Canada's main stock finished Tuesday’s volatile session virtually flat, with the benchmark S&P/TSX Composite closing around 20,150 driven by losses in the healthcare and energy sectors. Meantime, investors await the release of Canada monthly GDP, inflation rate and the final reading of producer prices later in the week. Canopy Growth Corp and Westshore Terminals Investment Corp were among the biggest laggards on the index, down 7.2% and 7.1%, respectively.

European stocks closed lower for a second day on Tuesday, led by tech-related stocks, as another selloff in Asian shares sent shockwaves across global markets. Adding to a gloomier outlook, persistent concerns that the spread of the contagious Delta variant would derail global economic recovery put sectors considered sensitive to economic fluctuations under heavy selling pressure. On the corporate side, warning on inflationary pressures by multinational consumer goods group Reckitt Benckiser took the shine off an earnings season. Domestically, the benchmark DAX 30 ended near the 15,500 level.

Oil prices remained steady for the third consecutive session on Tuesday, with WTI crude floating near $72 a barrel and Brent crude hovering around $74.5 a barrel as investors assess the near-term demand outlook amid rising coronavirus cases. Covid-19 infections have been surging in the US, Brazil, India and Indonesia; and both Thailand and Vietnam reintroduced curfews to stop the spread of the virus. Meantime, traders await data from the American Petroleum Institute industry group later in the day, with forecasts pointing to a 3.4 million barrels drop in US crude stocks in the week to July 23rd. Earlier in the month, OPEC+ decided to increase crude production by 400,000 barrels per day monthly starting August 2021 until phasing out the 5.8 million bpd production adjustment.

The S&P CoreLogic Case-Shiller 20-city home price index in the US increased 17 percent yoy in May of 2021, pushing the index to a record high. It compares with upwardly revised 15 percent growth in the previous month and market expectations of 16.4 percent. Among the 20 cities included in the index, prices increased the most in Phoenix (25.9 percent), followed by San Diego (24.7 percent) and Seattle (23.4 percent). "The strength in the US housing market is being driven in part by the reaction to the COVID pandemic, as potential buyers move from urban apartments to suburban homes. May’s data continue to be consistent with this hypothesis. This demand surge may simply represent an acceleration of purchases that would have occurred anyway over the next several years. Alternatively, there may have been a secular change in locational preferences, leading to a permanent shift in the demand curve for housing", said Craig J. Lazzara, Managing Director at S&P DJI.

Stocks of crude oil in the United States fell by 4.728 million barrels in the week ended July 23rd, 2021, following 0.806 million gain in the previous week, and compared with market expectations of a 3.433 million decline, data from the American Petroleum Institute showed.

Copper futures traded around $4.6 per pound, the highest since early June, boosted by prospects of higher demand for rebuilding infrastructure and supply concerns after floods in China. Torrential rain in the industrial and transport hub city of Zhengzhou in Henan province disrupted output and increased demand for reconstruction. Also, inventories of copper in ShFE warehouses declined to their lowest since February 10th. Copper prices were already rising after China’s state reserves administration announced it will sell 30,000 tonnes of copper from its state reserves on July 29th, slightly less than the market expected. China had sold 20,000 tonnes of copper reserves on July 5th, also below expectations.

The CBI distributive trades survey’s retail sales balance in the United Kingdom came in at +23 in July 2021, little-changed from June's near three-year high of +25 and slightly above market forecasts of +21. The latest reading signaled another solid increase in retail sales volumes in July, the first full month after non-essential shops reopened from a coronavirus shutdown, while new order growth was the fastest since December 2010. Internet sales were flat in the year to July. With growth slowing for the fifth consecutive month, the balance in July was the weakest since the question was first asked in August 2009. Looking ahead, sales are expected to continue growing at a robust pace in August, while orders growth is expected to slow marginally.