NewsWare’s Trade Talk: Wednesday, August 2

S&P Futures are negative in reaction to Fitch Rating downgrading of the U.S. debt to AA+ from AAA. The downgrade is due to repeated debt ceiling standoffs in Congress and fiscal deterioration caused by the Feds latest rate hike. Market environment is different than in 2011 when S&P downgraded the U.S. debt. The negative headline will weigh on markets this morning. In Europe, the major indexes are trading lower and oil prices are higher as stockpiles data is weakening.