Wednesday, 23 August 2017

US stock index futures down; fresh data in focus

Posted by Valentine at 04:38 Labels:

US stock index futures were set for a lower open on Wednesday, as concerns about President Donald Trump’s ability to push reforms in Congress quickly continued to increase.

Wall Street three major equity indexes posted solid gains in the previous session, with the Dow Jones industrial average finding support in Boeing and as information technology stocks boosted the S&P 500 index. The Nasdaq was also up by nearly 1.4 percent.

  • Dow Jones Industrial Average: 196.14 / 0.90% / 21899.89
  • Standard & Poor’s 500: 24.14 / 0.99% / 2452.51
  • Nasdaq Composite: 84.35 / 1.36% / 6297.48

Speaking at a campaign-like rally with his supporters in Arizona, President Trump said the Nafta was probably going to be ended soon as he sees no opportunities to reach a good deal.

"Personally, I don't think we can make a deal ... I think we'll end up probably terminating NAFTA at some point," said Trump as negotiators from the three nations involved in the agreement are due to gather on September 1.

But trade was not the only hot topic for Trump. In regard to geopolitical tensions in the Korean peninsula, the Republican leader seemed less worried about them.

"I respect the fact that he is starting to respect us. [...] And maybe - probably not, but maybe - something positive can come about" suggested the president.

A few days earlier, Kim Jong-un threatened the US with a “merciless attack” in the light of fresh joint military drills with South Korean.

Market analysts pointed out yesterday’s rebound was a clear reaction to speculations over the long-awaited tax reform. According to a Politico report, the Trump administration and lawmakers have agreed on the way this reform should be approached.

Market players are looking ahead of Fed’s annual symposium at Jackson Hole, Wyoming later this week for fresh hints on monetary policy plans from the world’s key regulators.

The Federal Reserve is expected to begin unwinding its massive $4.5 trillion balance sheet next month, and apply a third rate hike later this year. According to CME Group’s FedWatch tool, investors are pricing in a 41 percent probability of a rate move by December.

Today’s economic agenda includes a speech from FOMC member Robert Kaplan at 13:05 GMT, followed by manufacturing and services PMI indexes for August at 13:45 GMT and new home sales figures at 14:00 GMT. The Energy Department will release crude stocks by 14:30 GMT.

No comments :

Post a Comment

Subscribe to: Post Comments ( Atom )