Global stocks powered higher on Wednesday, signaling a rebound in risk-asset prices, as traders cheered a series of multinational political developments.

The most significant of which came from Hong Kong, where the Hang Seng Index rose +3.90%, amid reports that the city’s Chief Executive, Carrie Lam, formally withdrew the extradition bill which had sparked month-long demonstrations and tarnished the territory’s economy.

Moreover, in the United Kingdom, the pound strengthened after the UK Parliament took a crucial first step to block a no-deal Brexit.
The voted defeat for Prime Minister, Boris Johnson, will result in a vote for another extension to the country's Brexit debate, with Johnson countering with a move to call for fresh elections. The euro advanced.

Also in Europe, Italian stocks outperformed most others, as a new political coalition began to take shape that may be more conciliatory toward the European Union.

Today’s optimism comes after Tuesday’s session, where US stocks started September with their first decline in four days, on the back of long-standing global trade uncertainty.

With Wall Street returning from a long weekend, the S&P 500 fell as much as -1.20% before trimming its losses to end the day -0.58% lower. The sell-off was led by Industrial and Technology sectors, down -1.36% and -1.22% respectively.

Ahead, in today’s economic calendar, Wednesday includes; International Trade data for July at 8:30am EST.

In earnings news; Slack Technologies (WORK), American Eagle Outfitters (AEO), Palo Alto Networks (PANW), Barnes & Noble (BKS), Vera Bradley (VRA), Pivotal Software (PVTL), MongoDB (MDB), Cloudera (CLDR), Navistar International (NAV) and Finisar (FNSR) are expected to report today.

On hurricane watch; Dorian's wind speeds continued to slow, with the National Hurricane Center downgrading the storm to Category 2 status as it inched "dangerously" along Florida's northeast coast.

Hong Kong: Hong Kong Leader Carrie Lam to Withdraw Extradition Bill That Sparked Protests. (The WSJ)
Chief Executive Carrie Lam said she would withdraw the widely unpopular extradition bill that sparked a tumultuous summer of unrest in the city.
Brexit: British Lawmakers Upset Johnson’s Brexit Plan. (The WSJ)
UK lawmakers delivered a blow to Prime Minister Boris Johnson’s Brexit strategy with a vote aimed at delaying the country’s exit from the European Union, prompting the British leader to call for a general election.

Today's Economical Announcements.

08:30AM - ★★☆ - Exports (Previous: 206.30B)
08:30AM - ★★☆ - Imports (Previous: 261.50B)

Pre-Market Movers & News Related Stocks.

Michaels (MIK): [EARNINGS] Beat estimates by 5 cents a share, with adjusted quarterly profit of 19 cents per share. Revenue also beat forecasts. Michaels also reported a 0.3% increase in comparable-store sales, compared to predictions of a 1% drop from analysts surveyed by Refinitiv.

Box (BOX): [NEWS] Hedge fund Starboard Value disclosed a 7.5% stake in the cloud service provider and called its shares “undervalued.” Starboard is now Box’s second-largest shareholder behind Vanguard Group, and said it may talk to Box about exploring a potential sale.

Navistar (NAV): [EARNINGS] Reported quarterly profit of $1.56 per share, beating the consensus estimate of $1.22 a share. Revenue topped forecasts, as well, and Navistar raised its guidance for full-year truck deliveries.

Tyson Foods (TSN): [GUIDANCE] Cut its full-year earnings forecast to $5.30 to $5.70 per share, compared to a consensus estimate of $5.94 a share. The beef and poultry producer cited the impact of a recent fire at a key factory, as well as commodity market volatility.

Tapestry (TPR): [NEWS] Named Chairman Jide Zeitlin as its new chief executive officer. He succeeds Victor Luis, who had been in the CEO job for 13 years. Zeitlin will remain as chairman in addition to assuming CEO duties.

Apple (AAPL): [NEWS] Will introduce a cheap new iPhone next spring to address declining market share, according to a report from Japan’s Nikkei news service. The phone will reportedly be a successor to the iPhone SE.

Zillow (Z): [NEWS] Will sell $500 million in convertible securities due in 2024, and $500 million due in 2026.

Uber (UBER), Lyft (LYFT): [NEWS] A sell-off saw both ride-hailing services’ stocks post record closing lows. (AMZN): [NEWS] Is testing a biometric payment system that charge users by scanning their hands, according to a report in the New York Post. The paper said Amazon would introduce the technology at some of its Whole Foods stores by the beginning of 2020.

Kroger (KR): [NEWS] Is asking customers to stop openly carrying guns in its stores, following a similar move by Walmart.

Realty Income (O): [NEWS] Announced the acquisition of 454 single-tenant properties from CIM Real Estate for about $1.25 billion in cash. The real estate investment trust updated its full-year guidance, raising its outlook for adjusted funds from operations.