Wall Street Likely To Open On Negative Note

Lower index futures point to a weak start for U.S. stocks Tuesday morning.

The Dow futures are lower by nearly 0.6 percent, while the S&P futures and Nasdaq futures are down 0.45 percent and 0.37 percent, respectively.

Worries about tighter regulation in China and the fast-evolving situation in Afghanistan are likely to hurt sentiment.

Release of retail sales and industrial production data for the month of July, are the key economic events ahead of the opening bell. While data on retail sales is due out at 8:30 AM ET, the industrial production data is due at 9:15 AM ET.

A report on capacity utilization is due out at 8:30 AM ET.

At 10 AM ET, a reading of NAHB/Wells Fargo Housing Market Index is due.

Investors await an address by Federal Reserve Chairman Jerome Powell and the minutes from the U.S. Fed’s latest meeting for cues on the economic and interest-rate outlook.

Investors will also be reacting to earnings updates from Walmart Inc. (WMT) and The Home Depot, Inc. (HD).

Walmart Inc. said its bottom line came in at $4.28 billion, or $1.52 per share. This compares with $6.48 billion, or $2.27 per share, in last year’s second quarter. Analysts had expected the company to earn $1.56 per share, according to figures compiled by Thomson Reuters.

The Home Depot, Inc. said its bottom line came in at $4.81 billion, or $4.53 per share, compared with $4.33 billion, or $4.02 per share, in last year’s second quarter. Analysts had expected the company to earn $4.43 per share.

Technology stocks will be in focus following U.S. regulators issuing new draft of rules in order to stop unfair competition on the Internet.

Falling crude oil prices may weigh on the energy sector.

Asian stocks ended broadly lower on Tuesday as worries about the impact of the fast-spreading Delta coronavirus variant weighed on sentiment.

European stocks are weak amid fears of a slowdown in global economic growth due to as a spike in COVID-19 cases in Asia and elsewhere.

U.S. stocks indexes ended mixed on Monday. Concerns about the outlook for the global economy contributed to the initial weakness among stocks following the release of disappointing Chinese data. Optimism about the outlook for the markets despite signs of weakness in the global economy resulted in the mixed performance of stocks.

The Dow and the S&P 500 recovered to end the day at new record closing highs, while the tech-heavy Nasdaq regained ground but still closed in the red.

While the Nasdaq dipped 29.14 points or 0.2 percent to 14,793.76, the Dow climbed 110.02 points or 0.3 percent to 35,625.40 and the S&P 500 rose 11.71 points or 0.3 percent to 4,479.71.

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