US pre-open: Futures in the red as Federal Reserve meeting kicks off
US stock futures pointed to a low open on Tuesday, as investors remained jittery ahead of the Federal Reserve’s two-day meeting.
Apple Inc.
$167.04
11:24 18/04/24
Dow Jones I.A.
37,753.31
04:30 15/10/20
GoPro Inc.
$1.75
11:14 18/04/24
Kraft Foods Group, Inc.
$88.19
11:00 08/06/16
Nasdaq 100
17,394.31
11:25 18/04/24
Pfizer Inc.
$25.39
11:04 18/04/24
Twitter Inc
$53.70
11:00 08/03/24
United Parcel Service Inc.
$142.74
11:10 18/04/24
Whirlpool Corp.
$104.11
10:59 18/04/24
The Dow Jones Industrial Average is expected to open approximately 73 points lower, while the S&P 500 and the Nasdaq are set to begin the session down by seven and eight points respectively.
The Federal Reserve Open Market Committee begins on Tuesday and investors will closely monitor the interest-rate statement, which is released at 19:00 BST on Wednesday.
“September is looking like the earliest date for an interest rate raise,” said Connor Campbell, financial analyst at Spreadex.
“However, the consistently soft nature of the USA’s recent data could see the return of a more ‘patient’ Fed, despite the door being opened for a 2015 rate rise.”
The economic calendar sees the Case-Shiller home price reading released at 14:00 BST, followed by a report on consumer confidence at 15:00 BST.
The report is expected to show the index has climbed 102.5 in April, following a 101.3 reading in March.
In corporate news, Apple climbed 2.36% ahead of the bell after delivering strong first quarter results late on Monday.
The iPhone-maker reported earnings of $2.33 per share, beating estimates by 17 cents, while revenues for the period jumped 24% year-on-year to $58bn against consensus of a $56.1bn.
Following the results, analysts at Cantor Fitzgerald raised their target price on the stock from $180 to $195, while RBC Capital hiked its target price from $142 to $150.
Home-appliances maker Whirlpool dropped almost 4% in pre-market trading after the company slashed its full-year earnings guidance.
Bio-pharmaceutical group Pfizer declined 0.2% after the company said early on Tuesday that revenue had topped estimates, but lowered its outlook because of the impact of the strengthening dollar.
The earnings season continues on Tuesday, with Ford Motor, United Parcel Service and T-Mobile all reporting ahead of the bell, while Twitter, GoPro and Kraft Foods will publish results after the close.
The dollar declined 0.21% against the yen and fell 0.39% and 0.56% against the pound and the euro respectively, while gold futures slid 0.17% to $1,201.20.
Oil prices fell slightly, with West Texas Intermediate losing 0.39% to $56.77 a barrel, while Brent lost 0.25% to $64.67 a barrel.