After ending the previous session mostly higher, stocks may give back some ground in early trading on Tuesday. The major index futures are currently pointing to a modestly lower open for the markets, with the Dow futures down by 35 points.
Profit taking may contribute to initial weakness on Wall Street after the S&P 500 and the Nasdaq ended Monday’s trading at new record closing highs.
Selling pressure is likely to be somewhat subdued, however, as traders may worry about missing out on further upside for the markets.
Traders may also be reluctant to make significant moves ahead of the release of the Labor Department’s closely watched monthly jobs report on Friday.
Just after the start of trading, MNI Indicators is due to release its report on Chicago-area business activity in the month of August.
The Chicago business barometer is expected to drop to 68.0 in August from 73.4 in July, although a reading above 50 would still indicate growth.
The Conference Board is also scheduled to release its report on consumer confidence in the month of August. The consumer confidence index is expected to decline to 123.0 in August from 129.1 in July.
Following the advance seen last Friday, stocks moved mostly higher during trading on Monday. With the upward move, the S&P 500 and the Nasdaq reached new record closing highs.
The S&P 500 rose 19.42 points or 0.4 percent to 4,528.79 and the Nasdaq climbed 136.39 points or 0.9 percent to 15,265.89. Meanwhile, the narrower Dow edged down 55.96 points or 0.2 percent to 35,399.84.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Tuesday. Japan’s Nikkei 225 Index jumped by 1.1 percent, while China’s Shanghai Composite Index rose by 0.5 percent.
Meanwhile, the major European markets have moved to the downside on the day. While the U.K.’s FTSE 100 Index has slid by 0.6 percent, the German DAX Index and the French CAC 40 Index are down by 0.4 percent and 0.3 percent, respectively.
In commodities trading, crude oil futures are sliding $0.80 to $68.41 a barrel after climbing $0.47 to $69.21 a barrel on Monday. Meanwhile, after falling $7.30 to $1,812.20 an ounce in the previous session, gold futures are inching up $1.60 to $1,813.80 an ounce.
On the currency front, the U.S. dollar is trading at 109.71 yen compared to the 109.92 yen it fetched at the close of New York trading on Monday. Against the euro, the dollar is valued at $1.1834 compared to yesterday’s $1.1797.
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