Trade fears drive stocks down

By Baystreet Market Updates

U.S. stock index futures fell ahead of Friday’s open as lingering trade tensions took a toll on investor sentiment. Futures also followed European stocks lower amid worries about Italy’s budget.

Futures for the Dow Jones Industrials down 110 points, or 0.4%, to 26,363

S&P 500 futures doffed 11 points, or 0.4%, to 2,909, while futures for the NASDAQ composite slipped 35.75 points, or 0.5%, to 7,621.50

In corporate news, Blackberry and Vail Resorts are scheduled to publish earnings.

Meantime, investors will be keeping a close eye on Tesla, after news emerged that its CEO Elon Musk had been sued by the Securities and Exchange Commission for fraud, according to court documents filed Thursday.

While sources close to the company told the media that the firm was also expecting to be sued, Tesla wasn’t however named as a defendant in the complaint. In pre-market trading, Tesla shares were down more than 12% and Musk called the SEC’s allegations of fraud “unjustified.”

On the data front, personal income, consumer spending and core PCE figures are due out at 8:30 a.m. ET, followed by Chicago purchasing managers’ index data at 9:45 a.m. ET and consumer sentiment at 10 a.m. ET.

The U.S. and Canada have not yet come to an agreement on trade as a Sept. 30 deadline rapidly approaches. The two countries are trying to come to terms so Canada can join a trade deal struck between the U.S. and Mexico that would replace the current North American Free Trade Agreement (NAFTA), which has been heavily criticized by President Donald Trump.

U.S. Trade Representative Robert Lighthizer said Tuesday the U.S. was ready to move ahead on a new NAFTA deal without Canada.

Overseas, in Japan, the Nikkei 225 rocketed 1.4% Friday, while in Hong Kong, the Hang Seng took on 0.3%.

Oil prices fell two cents at $72.10U.S. a barrel.

Gold prices skidded 90 cents to $1,186.50U.S. an ounce.

This article provided by NewsEdge.