A Peek Into The Markets: U.S. Stock Futures Tumble Ahead Of Earnings

Pre-open movers

U.S. stock futures traded lower in early pre-market trade, ahead of earnings from Verizon Communications Inc. VZ, Paypal Holdings Inc PYPL, PPG Industries, Inc. PPG and Philip Morris International Inc. PM. Data on initial jobless claims for the latest week and the Philadelphia Fed general conditions index for October will be released at 8:30 a.m. ET. The index of leading economic indicators for September will be released at 10:00 a.m. ET. Kansas City Federal Reserve Bank President Esther George is set to speak in Altus, Oklahoma at 9:30 a.m. ET.

Futures for the Dow Jones Industrial Average dipped 111 points to 23,003.00, while the Standard & Poor’s 500 index futures fell 11.50 points to 2,548.50. Futures for the Nasdaq 100 index declined 39.25 points to 6,080.50.

Oil prices traded lower as Brent crude futures fell 1.29 percent to trade at $57.40 per barrel, while US WTI crude futures dropped 1.46 percent to trade at $51.28 a barrel. The Energy Information Administration’s weekly report on natural gas stocks in underground storage is schedule for release at 10:30 a.m. ET.

A Peek Into Global Markets

European markets were lower today, with the Spanish Ibex Index falling 0.90 percent, STOXX Europe 600 Index declining 0.71 percent and German DAX 30 index dropping 0.63 percent. The UK's FTSE index was trading lower by 0.33 percent, while French CAC 40 Index fell 0.51 percent.

In Asian markets, Japan’s Nikkei Stock Average rose 0.40 percent, Hong Kong’s Hang Seng Index fell 1.92 percent, China’s Shanghai Composite Index slipped 0.34 percent and India’s BSE Sensex slipped 0.08 percent.

Broker Recommendation

Analysts at Goldman Sachs downgraded Nike Inc NKE from Buy to Neutral.

Nike shares fell 2.10 percent to $51.20 in pre-market trading.

Breaking news

• Danaher Corporation DHR reported upbeat earnings for its third quarter.



• Cenovus Energy Inc (USA) CVE agreed to sell Palliser assets for C$1.3 billion to Schlumberger and Torxen Energy.



• eBay Inc EBAY reported in-line earnings for its third quarter, while revenue exceeded estimates. The company also issued a weak guidance for the full year.



• American Express Company AXP posted better-than-expected earnings for its third quarter and raised its FY17 earnings outlook. American Express also disclosed that its chairman and CEO Kenneth Chenault would step down.