Wall Street Set To Open Broadly Lower

Trading on Wednesday might be impacted by reaction to the latest earnings news. There are not many economic announcements on the day.

Verizon reported higher earnings for the day. Netflix (NFLX), CSX Corp. (CSX), and Tenet Healthcare (THC) are among the companies releasing their quarterly results after the close of today’s trading.

As COVID-19 infections are increasing, more than 40 percent of U.S. citizens have got the first shot of the vaccine, while only 26 percent got the second dose of vaccine.

Asian shares closed mixed, while European shares are trading positive.

Early trends on the U.S. Futures Index suggest that Wall Street might open mostly higher.

As of 7.50 am ET, the Dow futures were adding 5.00 points, the S&P 500 futures were down 1.25 points, and the Nasdaq 100 futures were sliding 33.00 points.

The U.S. stocks closed firmly in negative territory on Tuesday. The Dow slid 256.33 points or 0.8 percent to 33,821.30, the Nasdaq slumped 128.50 points or 0.9 percent to 13,786.27 and the S&P 500 fell 28.32 points or 0.7 percent to 4,134.94.

On the economic front, the Energy Information Administration or EIA’s Petroleum Status Report for the week will be issued at 10.30 am ET. In the prior week, the crude oil inventories were down 5.9 million barrels, and the Gasoline Inventories were up 0.3 million barrels.

Twenty-year Treasury bonds auction will be held at 1.00 pm ET.

In the corporate sector, Verizon Communications reported higher earnings for its first quarter from last year. Earnings came in at $5.38 billion, or $1.27 per share compared with $4.29 billion, or $1.00 per share, in last year’s first quarter.
Revenue for the quarter rose 4 percent to $32.87 billion from $31.61 billion last year.

Asian stocks ended mixed on Wednesday. Chinese shares recovered from an early slide to end largely unchanged. Hong Kong’s Hang Seng index ended down 513.81 points, or 1.76 percent, at 28,621.92.

Japanese shares tumbled. The Nikkei average slumped 591.83 points, or 2.03 percent, to 28,508.55 as the country reported nationwide daily infections of around 4500. The broader Topix index closed 1.98 percent lower at 1,888.18.

Australian markets extended losses from the previous session. The benchmark S&P/ASX 200 index slipped 20.30 points, or 0.29 percent, to 6,997.50 while the broader All Ordinaries index ended down 23.20 points, or 0.32 percent, at 7,258.90.

European shares are trading higher. Among the major indexes in the region, the CAC 40 Index of France is progressing at 37.03 points or 0.60 percent. The German DAX is adding 27.39 points or 0.18 percent, the U.K. FTSE 100 Index is gaining 30.54 points or 0.44 percent.

The Swiss Market Index is adding 89.79 points or 0.81 percent.

The Euro Stoxx 50 Index, which is a compilation of 50 blue chip stocks across the euro area, is up 0.70 percent.

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