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LONDON (Reuters) -Investors who rushed out of Wall Street during a month of U.S. policy shocks that raised European growth risks are turning their attention to niche markets such as Latin American currencies and gold mining stocks in a new bid to out-run trade angst. After President Donald Trump's April 2 Liberation Day bombshell pummelled domestic stocks and the dollar, European equities that initially attracted capital fleeing the U.S. have been hit by a surging euro that threatens exports. As Trump's budget plans rock confidence further and European industry braces for a deluge of cheap Chinese imports, investors running large global portfolios said traditionally volatile emerging markets and esoteric credit felt relatively safe, for now.

WASHINGTON (Reuters) -The U.S. economy contracted for the first time in three years in the first quarter, swamped by a flood of imports as businesses raced to avoid higher costs from tariffs and underscoring the disruptive nature of President Donald Trump's often chaotic trade policy. The Commerce Department's advance gross domestic product (GDP) report on Wednesday, however, grossly exaggerated the economy's dimming prospects. Nonetheless, both consumer and business spending likely reflected front-loading before the import duties kicked in.

SYDNEY (Reuters) -Australia Treasurer Jim Chalmers said the market was justified to expect more interest rate cuts after annual core inflation slowed to a three-year low, highlighting the decline three days ahead of a closely-contested national election. The key trimmed mean measure of annual inflation, the Reserve Bank of Australia's preferred gauge, slowed to 2.9% from 3.3%, March quarter data from the Australian Bureau of Statistics showed on Wednesday. Headline annual inflation held steady at 2.4% and quarterly inflation rose 0.9%, just above forecasts of a 0.8% increase.

Uncertainty around President Donald Trump’s trade war limited gains in U.S. stocks on Tuesday. Japanese automakers’ shares were mixed even after Trump signed an order relaxing some U.S. tariffs on imports of autos and auto parts. In Hong Kong, the Hang Seng rose 0.4% to 22,093.73, while the Shanghai Composite index slipped 0.2% to 3,281.20 as surveys showed export orders to manufacturers declined in April as higher U.S. tariffs on Chinese goods began to take effect.

U.S. stocks began Wednesday with a thud after a report suggested the U.S. economy may have shrunk at the start of the year. The S&P 500 was down 1% in midday trading and on track to break a six-day winning streak.

Supermicro shares plummeted 15% in extended trading on Tuesday after the server maker posted preliminary quarterly results that came in well below its prior guidance. Monitor these crucial chart levels.

Stocks saw a bout of historic volatility in April. Signs are pointing to more to come potentially, as the market approaches a key technical level.