• Asian markets saw a downturn due to China's weakening economy and the upcoming U.S. elections.
• Despite China's efforts to revive its economy, concerns remain about structural issues like debt and deflation.
• U.S. stock futures rose, with tech companies' earnings reports being a key determinant of market optimism.
• The performance of cryptocurrencies, corporate earnings, and economic policies are influencing global markets, leading to potential investment opportunities.

Asian markets experienced a slight downturn on Wednesday, primarily due to the weakening of China's economy. Investors are bracing themselves for a closely contested U.S. election, which could have significant implications for the world's second-largest economy. Despite Beijing's efforts to bolster growth, the Asian shares, particularly the MSCI's broadest index of Asia-Pacific shares outside Japan, fell 0.22% in early trade, mirroring a decline in Chinese assets. The CSI300 blue-chip index fell 0.16%, while Hong Kong's Hang Seng Index slid 0.64%.

This decline comes despite Reuters' report on Tuesday that China is considering approving the issuance of more than 10 trillion yuan ($1.4 trillion) in extra debt over the next few years to revive its fragile economy. However, Saxo's chief investment strategist Charu Chanana expressed concerns about the stimulus package, stating that it appears underwhelming with 60% allocated to local government debt relief. Chanana also highlighted that while there's a stronger focus on supporting the property sector, urgency around broader structural issues such as debt, deflation, and demographics remains limited.

U.S. Market and Cryptocurrency Trends

In contrast to the Asian market, U.S. stock futures ticked higher, buoyed by a solid result from Google-parent Alphabet, which reported quarterly revenue that beat estimates. Nasdaq futures gained 0.42%, while S&P 500 futures rose 0.36%. Investors are keenly awaiting the results of Meta Platforms and Microsoft, which are due to report their earnings later in the day, followed by Apple and Amazon.com on Thursday. These results will be crucial in determining whether Wall Street can sustain the optimism around technology and artificial intelligence that has lifted indexes to record highs this year.

In the cryptocurrency market, Bitcoin stood just a whisker away from its peak of $73,803.25 and last bought $72,322.08, on track to gain 13% for the month. The world's largest cryptocurrency has been bolstered by the growing possibility of Trump's return to the White House, as he is seen taking a more favorable stance towards digital assets.

Economic Front and Commodities

On the economic front, investors are bracing for a slew of U.S. data this week that could guide the outlook for Fed policy. The ADP National Employment Report is due later in the day alongside advance third quarter GDP estimates, which will come ahead of Friday's nonfarm payrolls figures. Data on Tuesday showed U.S. job openings dropped to more than a 3-1/2-year low in September, though that was countered by a separate survey which showed consumer confidence increased to a nine-month high in October amid improved perceptions of the labor market.

In commodities, Brent crude futures ticked up 0.42% to $71.42 a barrel, while U.S. West Texas Intermediate crude futures rose 0.45% to $67.51 per barrel. Spot gold was last 0.18% higher at $2,779.81 an ounce, after having peaked at $2,781.69 earlier in the session.