U.S. stock index futures were lower on Tuesday after China’s surprise devaluation of the yuan increased unease about the health of the world’s second-largest economy and pushed the dollar higher. * China’s move, which the central bank described as a “one-off depreciation” pushed the yuan to its lowest against the dollar in almost three years. * The stronger dollar hit commodity prices, driving Brent crude LCOc1 down 1.17 percent and U.S. crude CLc1 fell 1.53 percent, cutting short Monday’s hefty gains. * Prices of commodities such as copper, aluminum, nickel, and zinc slid between 1 and 2.5 percent. * U.S. stocks had climbed on Monday, giving the S&P 500 its biggest increase since May, buoyed by gains in commodity-related shares and optimism over Warren Buffett’s deal to buy Precision Castparts. * The U.S. Commerce Department will release wholesale inventories data for June at 10 a.m. ET (1400 GMT). Economists expect wholesale inventories to have climbed 0.4 percent in June after adding 0.8 percent a month earlier. * Google (GOOGL.O) shares rose 6 percent to $ 703 premarket after the company announced a surprise overhaul of its operating structure on Monday. * Symantec (SYMC.O) shares rose 7.3 percent to $ 24.57 after the antivirus maker said it would sell its data storage business, Veritas, for $ 8 billion in cash to a group led by Carlyle Group LP (CG.O). * Terex (TEX.N) shares rose 27 percent at $ 27.80 after the U.S. cranes and mining equipment maker and Finnish rival Konecranes (KCR1V.HE) agreed to an all-share merger. Futures snapshot at 7:18 a.m. EDT: * S&P 500 e-minis ESc1 were down 8.75 points, or 0.42 percent, with 196,987 contracts traded. * Nasdaq 100 e-minis NQc1 were down 3.25 points, or 0.07 percent, on volume of 28,451 contracts. * Dow e-minis 1YMc1 were down 86 points, or 0.49 percent, with 30,763 contracts changing hands. (Reporting by Sweta Singh in Bengaluru; Editing by Savio D’Souza)
No comments:
Post a Comment