US pre-open: Futures flat after IMF upgrades global economic outlook
Wall Street futures were broadly flat ahead of the bell on Wednesday after major indices ended out yesterday's trading in the red.
As of 1220 BST, Dow Jones futures were up 0.05% and S&P 500 futures were 0.03% firmer, while Nasdaq-100 futures were 0.03% lower.
The Dow Jones closed 96.95 points lower on Tuesday, sliding off its fresh record high from the previous session.
In focus ahead of the bell, rising yields that had spooked investors and led to a rotation out of growth and into value-oriented stocks were lower again, with the yield on the benchmark 10-year Treasury note dipping to 1.65%.
News that the International Monetary Fund had raised its 2021 growth outlook for the global economy to 6%, up from January's forecast of 5.5% was also giving sentiment a slight boost. The IMF said: "A way out of this health and economic crisis is increasingly visible" but did, however, warn of "daunting challenges" given the varied pace of vaccine rollouts around the globe.
SpreadEx's Connor Campbell said: "As for the Dow Jones, after dipping last night, the index is aiming for a timid 0.1% increase when US trading begins later today. Those gains could grow ahead of the open, however, given Joe Biden's promise that the vaccine would be available to everyone in the US by April 19th, roughly a fortnight ahead of schedule."
On the macro front, weekly mortgage applications decreased 5.1% week-on-week, according to the Mortgage Bankers Association, with an increase in the average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances to 3.36% from 3.33% causing homeowners and potential homebuyers to hold off on borrowing for the time being.
Still to come, February's balance of trade report will follow at 1330 BST, minutes from last week's FOMC meeting will be published at 1900 BST and consumer credit change data for February were slated for release at 2000 BST.