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12 Dec 2014
US stocks likely to open lower on global cues
FXStreet (Mumbai) - The stock markets in the US are likely to open lower today following the modest gains witnessed in the previous sessions. The major index futures are currently trading in the red.
The DJIA futures are trading 0.56% lower, while the S&P futures are trading 0.45% lower. Meanwhile, NASDAQ futures and Russell 2000 futures have weakened 0.56% and 0.77% respectively. Moreover, the S&P 500 VIX futures have gained 1.05%, in line with the risk aversion in the financial markets.
Concerns about oil demand are contributing to the continued decline after the International Energy Agency cut its outlook for 2015 global oil demand growth by 230 000 barrels per day to 0.9 million barrels per day. The lower oil prices is likely to boost consumption spending, although it will negatively affect the Oil and Gas industry in the US.
On the data front, the labor department data released today showed producer prices in the US fell 0.2% in November, from a 0.2% rise in October. Excluding the volatile food and energy prices, the core producer price index came in unchanged at 0.4% in November. Furthermore, the Thomson Reuters and the University of Michigan are scheduled to release the results of their preliminary survey of consumer sentiment in the month of December.
In overseas trading, the Asia-Pacific region turned in a mixed performance, while the major European indices have come under pressure tracking the slump in crude prices.
The DJIA futures are trading 0.56% lower, while the S&P futures are trading 0.45% lower. Meanwhile, NASDAQ futures and Russell 2000 futures have weakened 0.56% and 0.77% respectively. Moreover, the S&P 500 VIX futures have gained 1.05%, in line with the risk aversion in the financial markets.
Concerns about oil demand are contributing to the continued decline after the International Energy Agency cut its outlook for 2015 global oil demand growth by 230 000 barrels per day to 0.9 million barrels per day. The lower oil prices is likely to boost consumption spending, although it will negatively affect the Oil and Gas industry in the US.
On the data front, the labor department data released today showed producer prices in the US fell 0.2% in November, from a 0.2% rise in October. Excluding the volatile food and energy prices, the core producer price index came in unchanged at 0.4% in November. Furthermore, the Thomson Reuters and the University of Michigan are scheduled to release the results of their preliminary survey of consumer sentiment in the month of December.
In overseas trading, the Asia-Pacific region turned in a mixed performance, while the major European indices have come under pressure tracking the slump in crude prices.