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Wall Street has closed flat after a volatile session overnight, as wary investors sought more clarity over a vote on President Donald Trump's healthcare bill which lawmakers have delayed.
- ASX SPI 200 futures +0.08pc to 5,712
- AUD: 76.25 US cents, 60.09 British pence, 84.62 Japanese yen, 70.70 eurocents, $NZ1.08
- US: S&P 500 -0.10pc to 2,345, Dow Jones -0.02pc to 20,656, Nasdaq -0.07pc to 5,817
- Europe: Euro Stoxx +0.9pc to 367.84, FTSE +0.22pc to 7,340
- Commodities: Gold -0.32pc to $US1,244.80/ounce
Republican leaders had been expected to make a final bid to secure the votes needed to pass the healthcare overhaul in the House of Representatives this morning.
But the vote to dismantle Barack Obama's signature healthcare law has now been delayed until tomorrow after leaders failed to find enough support among Republicans to pass it.
Uncertainty over the vote weighed down on the market as US investors remained cautious amid reports the bill could be defeated due to a lack of Republican support.
"The Trump reflation trade, based on optimism that Trump's spend-up and tax plans will boost the US economy and inflation further, is facing a test," an ANZ analyst note said.
"The trade — particularly the equity leg of it, which has seen US equity indexes roar to record highs — has arguably been long on optimism and short on substance for some time now."
According to the ANZ note, the bill comes at a sensitive time for the market, with the initial post-election exuberance looking to have taken a breather.
"The market [is] unsure of direction from here as it weighs up political uncertainty, a strong US economy and an increasingly hawkish Federal Reserve," it said.
"One thing does seem likelier than not — financial market volatility is set to rise from the extreme lethargy that has been seen in the past three months.
"That means potentially more action in equities, interest rates and currencies, as analysts and market participants attempt to ascertain the real state of play."
Banking stocks were boosted overnight as Federal Open Market Committee's centrist member John Williams signalled three to four hikes this year.
This temporarily pushed the US market higher as investors reacted positively to signs some members were looking at more rate rises this year, buying up cheaper stocks after Tuesday's (local time) fall.
Chair of the Federal Reserve Janet Yellen stuck to her script in a key note speech overnight, avoiding monetary policy or the economy, according to a Westpac analyst note.
Google's parent company Alphabet weighed down on the market, falling more than one per cent as more businesses pulled YouTube ads.
The action comes as companies fear their digital ads may appear on channels that broadcast offensive videos.
European stocks climbed after a lacklustre week, led by gains in travel and retails stocks.
British clothing retailer Next performed strongly in the session after the release of positive retail sales data in Britain.
This is despite the company reporting its first drop in annual profit since 2009 and noting that its outlook was "extremely cautious" for the year ahead.
Locally, the market is on track for a steady start, while the Australian dollar fell overnight. A short time ago it was down at $US76.26 cents.
West Texas Crude oil is lower at $46.95 US a barrel, a barrel of Tapis is worth $US51.81 and spot gold is down at $US1,247 an ounce.
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