Following yesterday’s lacklustre session, Wall Street slumped after the closing bell last night and index futures are pointing towards some modest losses at the open. That’s despite the upbeat narrative emerging from the US Treasury over the idea that a deal can be struck with China to resolve the ongoing trade dispute, although such an accord could well fuel a bout of risk taking across the board, giving ample justification for reducing exposure to blue chip stocks.
Earnings season continues today with Twitter (NYSE:TWTR) the potential stand out. After Snapchat's (NYSE:SNAP) impressive user numbers earlier in the week, the microblogging site will be in focus to see if it can also find some cheer.
Economic data remains relatively thin on the ground, although the consumer credit release for December sue shortly after the opening bell could prove telling. A sharp downturn here is expected, underlining the fact that consumers are getting a little more cautious over the outlook. Whether this is sufficient to damage sentiment remains to be seen, but consumer spending remains key to the success of the US economy.
Ahead of the open we’re calling the Dow down 80 at 25310 and the S&P 500 down 8 at 2724