Here is what you need to know.

The Fed is expected to hike rates on Wednesday. Data compiled by Bloomberg shows a 99% chance the Fed will hike rates at the conclusion of its two-day meeting on Wednesday.

Consumer confidence spikes to its best level since 2000. The Conference Board said Tuesday that its consumer confidence index jumped to 138.4 in September — from 133.4 in August — hitting its best level in 18 years.

A quirk that’s distorted the stock market for 20 years is finally gone. Companies with high-quality credit have traded at a discount to their low-quality peers for the last two decades, but Bank of America says things are changing and offers some recommendations as to how traders can take advantage.

FTSE Russell is expected to include Chinese stocks when it rebalances on Wednesday. The move, which has been years in the making, could push billions of dollars into the Chinese market, helping to stabilize it in the midst of its trade war with Washington.

Deutsche Bank held internal talks about a merger with Swiss giant UBS. Senior Deutsche Bank staff held talks about a tie-up with the Swiss bank UBS, and a merger with Commerzbank, Germany’s second-biggest bank and a key domestic rival, the German newspaper Handelsblatt reports.

Arby’s parent company is buying Sonic in a $2.3 billion deal. Inspire Brands, the parent company of Arby’s, will pay $1.57 billion in cash, or $43.50 per share, for the burger chain Sonic. The deal amounts to $2.3 billion when including debt.

Nike’s gross margins miss. The sneaker giant beat on both the top and bottom lines, but shares slumped more than 4% after Tuesday’s closing bell as gross margins and sales in both China and Latin America missed estimates.


Stock markets around the world are higher. Hong Kong’s Hang Seng (+1.15%) led the gains in Asia and France’s CAC (+0.22%) is out front in Europe. The S&P 500 is set to open up 0.21% near 2,922.

Earnings reporting is light. Bed Bath & Beyond reports after markets close.

US economic data trickles out. New home sales will be released at 10 a.m. ET. The US 10-year yield is down 1 basis point at 3.09%.