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Futures Points To Lower Opening For Wall Street


Wednesday's focus is on Beige Book to be released by Federal Reserve, detailing the economic situation in the country and giving a new insight to the interest rates ahead.

Trading on Wednesday may be impacted by reaction to reports on private sector employment, international trade and labor productivity. Mortgage applications, Employment report as well as Productivity and Costs reports are watched by the investors.

The investors are keenly watching the developments after the resignation of White House Chief Economic Adviser Gary Cohn and concerns about Trump moving ahead with the tariff plan.

Asian shares finished in the red, and European shares are trading lower.
Early signs from the U.S. Futures Index clearly suggest that Wall Street might open lower.

As of 6.40 am ET, the Dow futures were slipping 292 points, the S&P 500 futures were shedding 24.50 points and the Nasdaq 100 futures were slipping 57 points.

U.S. stocks closed positive on Tuesday. The Dow inched up 9.36 points or less than a tenth of a percent to 24,884.12, the Nasdaq advanced 41.30 points or 0.6 percent to 7,372.01 and the S&P 500 rose 7.18 points or 0.3 percent to 2,728.12.

On the economic front, the Beige Book, produced roughly two weeks before the monetary policy meetings of the Federal Open Market Committee, is expected at 2.00 pm ET.

The Mortgage Bankers' Association's Mortgage Applications report for the week will be published at 7.00 am ET. In the prior week the Composite Index increased 2.7 percent.

Automatic Data Processing (ADP)/ Moody's Analytics' Employment Report for February will be published at 8.15 am ET. The consensus is for 205,000, down from 234,000 in the prior month.

The Labor Department's Productivity and Costs report for the fourth quarter will be published at 8.30 am ET. The market analysts are looking for non-farm productivity consensus of a decline of 0.1 percent unchanged from the previous quarter.

The Energy Information Administration or EIA's Petroleum Status Report for the week will be published at 10.30 am ET. The Crude Oil Inventories in the previous week was up 3.0 million barrels, and Gasoline was up 2.5 million barrels.

New York Federal Reserve President William Dudley will speak at the Cano Martin Pena Neighborhood Recovery Tour, in San Juan, Puerto Rico at 7.30 am ET. Later at 8.20 am, Dudley will give a presentation to the New York Fed economists on the unfolding situation in Puerto Rico at a Puerto Rico Chamber of Commerce event in San Juan, Puerto Rico, followed by Q&A.

Atlanta Federal Reserve Bank President Raphael Bostic to speak at the Fireside Chat to the Broward Workshop in Fort Lauderdale, FL, with audience and media Q&A at 8.00 am ET.

In the corporate sector, Danaher Corp. (DHR) said it expects first quarter 2018 adjusted earnings per share to be above the high-end of it's previously communicated outlook range. While reporting its fourth-quarter financial results in January, Danaher forecast first-quarter net earnings per share in a range of $0.71 to $0.74 and adjusted net earnings per share in a range of $0.90 to $0.93.

Asian stocks finished in red on Wednesday. China's Shanghai Composite index dropped 17.97 points or 0.55 percent to 3,271.67 while Hong Kong's Hang Seng index finished 313.81 points or 1.03 percent at 30,196.92.

Japanese shares closed lower. The Nikkei average dropped 165.04 points or 0.77 percent to 21,252.72, while the broader Topix index closed 0.72 percent lower at 1,703.96.

Australian shares tumbled at the closing. GDP growth slipped to 2.4 percent over the last year, compared with the annualized rate of 2.8 percent seen in the third quarter. The benchmark S&P/ASX 200 index fell by 60.40 points or 1.01 percent to finish at 5,902 while the broader All Ordinaries index ended down 56.10 points or 0.93 percent at 6,005.40.

European shares are trading down. Among the major indexes in the region, the CAC 40 Index of France is falling 32.92 points or 0.63 percent, the German DAX is losing 45.82 points or 0.37 percent, the U.K. FTSE 100 Index is slipping 9.06 points or 0.13 percent and the Swiss Market Index is declining 8.93 points or 0.13 percent.

The Euro Stoxx 50 Index, which is a compilation of 50 blue chip stocks across the euro area, is down 0.45 percent.

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