Australia

Australian shares are set to open flat following the RBA's Melbourne Cup day rate increase.

ASX futures were down 2 points at 7.15am on Wednesday.

US stocks posted gains overnight as technology shares drove the market higher. DJIA rose .16%, the S&P 500 gained 0.28% and the Nasdaq added 0.9%.

In commodity markets, Brent crude oil rose .15% to US$81.73 a barrel while gold fell to US$1,962.60.

In local bond markets, the yield on Australian 2 Year government bonds was lower at 4.315% while the 10 Year yield was also down at 4.708%. US Treasury notes were down, with the 2 Year yield at 4.93% and the 10 Year yield at 4.57%.

The Australian dollar hit 64.21 US cents.

Asia

Chinese stocks fell on Tuesday, as fresh trade data underscored an uneven economic recovery, with the market also tracking global markets lower amid fresh concerns on global rate tightening. CSI 300 Index was down 0.4% and the Shanghai Composite Index was almost unchanged at market close.

Hong Kong’s Hang Seng Index dropped 1.7% and the Hang Seng China Enterprises Index lost 1.5%.

Japan's Nikkei share average lost more than 1% on Tuesday, snapping a four-session gaining streak,

Europe

European shares were subdued on Tuesday as a drag in energy stocks offset gains in financials. The pan-European STOXX 600 was flat having snapped a five-day gaining streak on Monday.

In the UK the FTSE 100 closed slighlty down with a loss of .10%.

North America

US stocks posted gains driven by technology shares. The Nasdaq posted the eighth day of gains while the S&P 500 has been up seven days in a row. This is the strongest winning streak in roughly two years.

The US market has continued to gain off the back of optimism that the Federal Reserve has finished interest rate increases. Investor optimism has been fueled by signs that the US economy has slowed.