Benzinga | Oct 6, 2021 06:00AM EDT

A Peek Into The Markets: US Stock Futures Down Ahead Of ADP Report

Pre-open movers

U.S. stock futures traded lower in early pre-market trade after the Dow Jones climbed more than 300 points in the previous session. Investors are awaiting earnings results from Constellation Brands, Inc. (NYSE:STZ), Acuity Brands, Inc. (NYSE:AYI), RPM International Inc. (NYSE:RPM) and Levi Strauss & Co. (NYSE:LEVI).

The ADP national employment report for September is scheduled for release at 8:15 a.m. ET. ADP's report is likely to show an addition of 428,000 private payrolls in September, compared to a 374,000 rise in August. Federal Reserve Bank of Atlanta President Raphael Bostic is set to speak at 9:00 a.m. ET.

Futures for the Dow Jones Industrial Average dipped 370 points to 33,813.00 while the Standard & Poor's 500 index futures declined 56.25 points to 4,277.75. Futures for the Nasdaq 100 index fell 221.75 points to 14,433.50.

The U.S. has the highest number of COVID-19 cases and deaths in the world, with total infections in the country exceeding 43,950,770 with around 705,280 deaths. India reported a total of at least 33,871,880 confirmed cases, while Brazil confirmed over 21,499,070 cases.

Oil prices traded lower as Brent crude futures fell 0.4% to trade at $82.20 per barrel, while US WTI crude futures fell 0.6% to trade at $78.48 a barrel. The American Petroleum Institute, late Tuesday, reported a rise build of 951,000 barrels in crude oil inventories for the week ending October 1. The Energy Information Administration's weekly report on petroleum inventories will be released at 10:30 a.m. ET.

A Peek Into Global Markets

European markets were lower today. The Spanish Ibex Index fell 2.1% and STOXX Europe 600 Index dipped 2%. The French CAC 40 Index dipped 2.2%, London's FTSE 100 dropped 1.6% while German DAX 30 declined 2.3%. Eurozone retail sales increased 0.3% from a month ago in August, while construction PMI climbed to 50.0 in September from 49.5 a month ago. The IHS Markit/CIPS construction PMI for the UK dropped to 52.6 in September, while German construction PMI rose to 47.1 in September from 44.6 in August. Spain's industrial production rose 1.8% year-over-year in August versus a revised 3.3% growth in the previous month. French construction PMI increased to 48.9 in September from 44.9 in the earlier month.

Asian markets traded lower today. Japan's Nikkei 225 fell 1.05%, while Hong Kong's Hang Seng Index fell 0.57%. Australia's S&P/ASX 200 fell 0.6% and India's BSE Sensex fell 0.9%. Indian services PMI slipped to 55.2 in September from 18-month high level of 56.7 in August. The IHS Markit Hong Kong PMI dropped to a three-month low level of 51.7 in September from 53.3 a month ago.

Broker Recommendation

Morgan Stanley downgraded Seagate Technology Holdings plc (NASDAQ:STX) from Overweight to Equal-Weight and lowered the price target from $118 to $88.

Seagate shares rose 1.2% to close at $85.15 on Tuesday.

Check out other major ratings here



Breaking News * National Institutes of Health Director Francis Collins plans to step down by the end of the year, the agency announced Tuesday.

* Palantir Technologies Inc (NYSE:PLTR) reported that it won an $823 million contract from the U.S. Army's Program Manager for Intelligence Systems and Analytics for the Capability Drop 2 program.

* Pegatron Corp, a key Apple Inc (NASDAQ:AAPL) supplier, is joining hands with Microsoft Corp (NASDAQ:MSFT) to deploy 5G private networks as it looks to tap new growth opportunities amid a maturing smartphone market, Nikkei Asia reported.

* Manchester United plc (NYSE:MANU) reported an offering of 9.5 million Class A ordinary shares by selling shareholders.

Check out other breaking news here