Pre Stock Market News: Lower Open Expected For US Markets, Oil Dips

Lower open expected for the U.S. stocks Tuesday after main equity gauges including Dow Jones looked down.

At 2:15 a.m. ET, Dow futures indicated a negative open of more than 41 points. The S&P and Nasdaq futures were also lower.

Wall Street ended lower on Monday after anxieties overwhelmed investors over a potential increase in oil prices and its impact on global growth.

However, U.S. President Trump ruled out any hasty response to the attacks.

Meanwhile, investors’ attention shifted to the upcoming Federal Reserve meeting. A quarter-point rate cut is expected when the Fed issues the policy statement on Wednesday.

On data, Investors will see a new Biz leaders’ survey, due at 08:30 a.m. ET followed by industrial production numbers at 09:15 a.m; the housing market index at 10:00 a.m. ET.

Cracker Barrel, Adobe, and FedEx will be reporting their latest quarterly results on Tuesday.

The trade war news says deputy-level talks between the United States and China will happen in Washington on Thursday, in the run-up to the main talks in October.

Oil price slips

The oil price fell on Tuesday. This is despite the market remaining volatile after the attacks on Saudi Aramco’s crude-processing facilities at Abqaiq and Khurais that cut out production by 5.7 million barrels a day.

The Saudi attacks raised the concern of a major supply shock. The oil market is already battling concerns over demand outlook as a fall out of the ongoing U.S.-China trade war.

Brent crude fell 0.5 percent at $68.66 a barrel at 0930 GMT, while West Texas Intermediate slid 0.9 percent at $62.33 a barrel.

On Monday, oil prices surged 20 percent in the biggest jump in intraday trading, after a gap of 28 years.

Now markets are awaiting the Saudi energy minister Prince Abdulaziz bin Salman’s press conference at 8.00 pm local time (1700 GMT or 1 PM ET).

Asian markets mixed

Asia markets gave a mixed platter on Tuesday after investors remained cautious about rising energy prices and the fallout of geopolitical tensions.

China’s mainland markets declined more than 1 percent. The Shanghai Composite shed 1.74 percent, according to stock market news.

Hang Seng index, the stock market index in Hong Kong, dropped 1.4 percent.

Japan’s Nikkei 225 finished marginally high while the Topix index rose 0.29 percent. The Kospi index of South Korea was flat. Australia’s ASX 200 added 0.33 percent.

In the Indian share markets, the BSE Sensex dropped 1.73 percent while the NSE Nifty fell 1.69 percent.

In European stocks, the trading view showed pan-European Stoxx 600 was at the flat line in early trade.

The gold price was steady on Tuesday as expectations of a rate cut by the U.S. Federal Reserve intensified.

Spot gold was unchanged at $1,497.98 per ounce as of 0359 GMT. The U.S. gold futures fell 0.4 percent at $1,505.4 per ounce.