Wednesday November 15th

15-11-2017

Dow futures fall 127 points as market jitters overseas weigh on sentiment

U.S. stocks futures pointed to a sharply lower open Wednesday, following negative sentiment seen from markets overseas, as investors geared up for more earnings and data. Dow Jones industrial average futures fell 127 points, while S&P 500 and Nasdaq 100 futures pulled back 13.5 points and 31.25 points, respectively. Shares of General Electric also fell more than 1 percent in the premarket as the industrial giant's slide continues. GE fell has fallen more than 12 percent this week. Looking to markets in other regions, trade in Europe was poor with several markets trading in the red, while markets in Asia finished lower amid a decline in commodities. The Nikkei 225 tumbled 1.57 percent, or 351.69 points, to close lower for the sixth straight session at 22,028.32. Across the Korean Strait, the Kospi edged down 0.33 percent to end at 2,518.25. Greater China markets came under pressure with Hong Kong's Hang Seng Index off 0.69 percent by 3:00 p.m. HK/SIN. Mainland markets, meanwhile, finished lower: The Shanghai Composite lost 0.79 percent to close at 3,402.54 and the Shenzhen Composite lost 1 percent to close at 2,005.61. Oil prices declined after the IEA slashed its outlook for oil demand growth by 100,000 barrels per day for 2017 and 2018. At 6:58 a.m. ET, U.S. West Texas Intermediate (WTI) slipped 1.1 percent to trade at $55.07, while Brent hovered around $61.50 per barrel, down 1.1 percent. Economists polled by MarketWatch are forecasting consumer prices to rise 0.1%, with core prices up 0.2%. Retail sales are seen coming in unchanged. Business inventories are set to be released at 10 a.m. ET, while Treasury International Capital (TIC) data is due out at 4 p.m. ET. Mortgage applications will also be released, as usual, at 7 a.m. ET. In earnings, Target reported better-than-expected earnings as same-store sales — a key metric for retailers — topped estimates. However, the stock fell nearly 4 percent before the bell. Cisco Systems and L Brands are some of the other big brands set to publish their latest financial figures. In the U.S., the future of a tax reform deal is expected to add uncertainty to markets throughout the trading day, as investors remain on edge over whether a reform will take place during 2017. Gold prices rose on Wednesday for a third day, helped by a weaker dollar and falling U.S. bond yields ahead of inflation data later that could influence how quickly the Federal Reserve will raise interest rates. Spot gold was up 0.54 percent at $1,287.59 an ounce at 8:25 a.m. ET, taking gains this week to 0.7 percent. U.S. gold futures for December delivery were 0.38 percent higher at $1,287.80 an ounce.