Wall Street Might Open Lower

Asian shares finished lower, while European shares are trading down. Early signs from the U.S. Futures Index suggest that Wall Street might open lower.

Investors are looking ahead to the developments of vaccines for COVID-19.

Trading on Thursday may be impacted by continued reaction to the Fed announcement, while reports on weekly jobless claims, housing starts, and Philadelphia-area manufacturing activity may also attract attention.

As of 8.05 am ET, the Dow futures were losing 267.00 points, the S&P 500 futures were down 45.50 points and the Nasdaq 100 futures were sliding 223.25 points.

The major averages ended Wednesday session mixed. While the Dow inched up 36.78 points or 0.1 percent to 28,032.38, the Nasdaq plunged 139.85 points or 1.3 percent to 11,050.47 and the S&P 500 slid 15.71 points or 0.5 percent to 3,385.49.

On the economic front, the Commerce and Housing & Urban Development departments’ Housing Starts and Permits report for August will be issued at 8.30 am ET. The consensus is for 1.486 million, while it was up 1.496 million in the prior month.
The Labor Department’s Jobless Claims for the week will be published at 8.30 am ET. The consensus is for 850K, down from 884K in the previous week.

Federal Reserve Bank of Philadelphia’s Fed Manufacturing Index for September will be revealed at 8.30 am ET. The consensus is for 15.5, down from 17.2 in the prior month.
The Energy Information Administration or EIA’s Natural Gas Report for the week will be issued at 10.30 am ET. In the prior week, the stock was 70 bcf.

Two-year, five-year and seven-year Treasury Note auction will be held at 11.00 am ET. The 10-year Treasury Inflation-Protected Securities or TIPS auction will be held at 1.00 pm ET.

The Fed Balance Sheet for the week will be published at 4.30 pm ET. In the previous week, the level was $7.011 trillion.

The Money Supply for the week will be issued at 4.30 pm ET. In the prior week, the M2 money supply was $78.3 billion.

Asian stocks fell broadly on Thursday. Shares in China and Hong Kong extended losses from the previous session after the Federal Reserve offered a cautious outlook on the U.S. economy.

China’s Shanghai Composite Index declined 13.49 points, or 0.4 percent, to finish at 3270.44, while Hong Kong’s Hang Seng Index tumbled 384.78 points or 1.6 percent to 24,340.85.

Japanese shares fell on the day. The benchmark Nikkei 225 Index slid 156.16 points, or 0.7 percent, to close at 23,319.37, and the broader Topix dipped 5.95 points or 0.4 percent to 1,638.40.

Australian stocks closed notably lower despite the release of data showing an unexpected drop in Australia’s unemployment rate for August.

The benchmark S&P/ASX 200 Index lost 72.90 points, or 1.2 percent, to close at 5,883.20, and the broader All Ordinaries Index fell 77.70 points, or 1.3 percent, to 6,069.20.

On the economic front, the Australian Bureau of Statistics said that the jobless rate in Australia came in at a seasonally adjusted 6.8 percent in August. That blew away expectations for 7.7 percent and was down from 7.5 percent in July.

The Australian economy added 111,000 jobs last month to 12,583,400.

European shares are trading lower. Among the major indexes in the region, the CAC 40 Index of France is declining $42.83 points or 0.85 percent. The German DAX is losing 101.54 points or 0.76 percent, the U.K. FTSE 100 Index is losing 28.46 points or 0.47 percent.

The Swiss Market Index is down 44.45 points or 0.42 percent.

The Euro Stoxx 50 Index, which is a compilation of 50 blue chip stocks across the euro area, is down 0.46 percent.

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