Investing.com - U.S. stock futures pointed to a lower open on Wednesday morning, as traders kept an eye on fresh political developments in the U.S. after President Donald Trump allegedly asked the FBI to end a probe into his former security adviser.
The blue-chip Dow futures lost 82 points, or around 0.4%, by 6:45AM ET (10:45GMT), the S&P 500 futures dropped 11 points, or 0.4%, while the tech-heavy Nasdaq 100 futures fell 19 points, or about 0.3%.
U.S. equities closed mixed on Tuesday, with the S&P 500 and the Dow ending flat after a lackluster set of economic data and retail earnings, while the Nasdaq hit another record closing high with help from technology stocks.
Markets were unnerved after media reports said President Trump asked then-FBI Director James Comey to end a probe into Michael Flynn, his former National Security Advisor, relating to alleged ties with Russia.
The news came one day after a report accused Trump of disclosing sensitive intelligence obtained from a close U.S. ally with Russia's foreign minister about an Islamic State operation.
The reports added to concerns that the president will be unable to successfully push through his economic stimulus program in the face of mounting controversies.
The news dampened demand for risk-sensitive assets, such as global equities, and sparked a rally in assets perceived as safe, such as the yen, gold and U.S. Treasuries, which are often used as a hedge in times of political uncertainty.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, weakened for a sixth straight day, falling around 0.3% to 97.85 in New York morning trade.
It slid to an overnight low of 97.76, levels last seen in the immediate aftermath of Trump's surprise victory in November.
Besides political developments, traders will keep an eye out for fresh earnings from struggling mall-based retailer American Eagle Outfitters (NYSE:AEO) ahead of the opening bell. After markets close, Cisco Systems (NASDAQ:CSCO) and L Brands (NYSE:LB) are set to report results.
There is no major data on Wednesday's calendar.
Among active pre-market movers, Target (NYSE:TGT) shares jumped 6% as investors cheered the retailer's earnings results reported ahead of the opening bell.
In other markets, European stocks fell, with losses across the continent driven by political worries over U.S. President Donald Trump.
Earlier, in Asia, most markets ended in negative territory, as investors focused on political and legal turmoil surrounding President Donald Trump.
Elsewhere, oil prices posted solid gains as investors looked ahead to the Energy Department's weekly supply report at 10:30AM ET.