Major U.S. stock indexes closed mostly lower on Tuesday, though the technology-heavy Nasdaq Composite climbed to another all-time high, as investors returned from a three-day holiday weekend unsure about the toll the delta variant of the coronavirus will take on the economic outlook. A selloff across bond markets saw the 10-year U.S. Treasury yield climb to around 1.37% levels. The Dow Jones Industrial Average DJIA fell 269.09 points (dropped 0.8%), to finish at 35,100, the S&P 500 SPX slipped 15.40 points (fell by 0.3%) to end at 4,520.03 while the Nasdaq Composite COMP gained 10.81 points to finish at 15,374.33.

Strong trade data from China on Tuesday failed to counter the dampening impact of a weak U.S. jobs report last week. Stocks in Asia snapped an eight-day winning streak as a rally in Japan moderated and traders evaluated the risk of a slower recovery from the pandemic due to the delta coronavirus variant. Shares fell in Hong Kong and fluctuated in China, where the mouthpiece of China’s Communist Party ran an editorial seeking to ease concern that President Xi Jinping’s regulatory crackdown will hurt foreign investors. Equities climbed modestly in Japan, supported by hopes for economic stimulus from the next prime minister. U.S. and European stock futures were steady. Japan’s Nikkei 225 index NIK rose 0.8%, while the Hang Seng HIS in Hong Kong rose 0.1%. The Shanghai Composite index SHCOMP dipped 0.2%. Attention in Asia would be on China’s PPI & CPI data due on Thursday.

Oil prices climbed on Wednesday, recouping some overnight losses from a stronger dollar and demand concerns, with a slow production restart in the U.S. Gulf of Mexico and resumption of refining activities providing support. U.S. West Texas Intermediate (WTI) crude futures rose 43 cents, or 0.6%, to $68.78 a barrel at 0643 GMT, after sliding 1.4% on Tuesday following the Labor Day holiday. Brent crude futures gained 34 cents, or 0.5%, at $72.03 a barrel after falling 0.7% on Tuesday. Producers in the Gulf are still struggling to restart operations nine days after Hurricane Ida swept through the region with powerful winds and drenching rain. About 79% of U.S. Gulf production remained offline on Tuesday, with 79 production platforms still unoccupied. About 17.5 million barrels of oil has been lost to the market so far. The Gulf’s offshore wells make up about 17% of U.S. output.

European stock markets are expected to open largely lower on Wednesday, weighed by weakness on Wall Street overnight due to worries over slowing economic growth. A weakened sentiment has carried over into Europe on Wednesday, even after Japan followed the Eurozone in revising its estimate for second-quarter growth higher, to 1.9% from the initial estimate of 1.3%. The European data slate is relatively empty Wednesday, with just French trade data and Italian retail sales scheduled to emerge. Most attention will be on Thursday’s European Central Bank meeting, with the governing council members potentially discussing a reduction in its asset purchasing program.