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Stocks - U.S. Futures Fall After Gloomy European Outlook

Published 2019-07-30, 06:44 a/m
© Reuters.
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Investing.com - U.S. futures were lower on Tuesday after grim earnings from European companies ahead of the Federal Reserve’s monetary policy decision dampened sentiment.

Bank and airline stocks tumbled o a combination of weak economic data and downwardly-revised guidance from companies such as Bayer (DE:BAYGN), wind-turbine maker Siemens Gamesa (MC:SGREN) and Lufthansa (DE:LHAG). Eurozone business confidence fell to a six-year low.

Meanwhile, the Fed’s two-day monetary policy meeting starts on Tuesday, with a rate cut of at least 25 basis points expected on Wednesday.

Nasdaq 100 futures fell 33 points or 0.4% by 6:42 AM ET (10:42 GMT), while Dow futures slumped 63 points or 0.2% and S&P 500 futures were down 8 points or 0.3%.

Beyond Meat (NASDAQ:BYND) tumbled 13.1% in premarket data after the company announced a secondary offering 3.25 million shares just three-months after it went public. The news came after the company reported a mixed second quarter but raised its full-year guidance.

Capital One (NYSE:COF) was under pressure, falling 3.2% after reports of a data breach that allowed a hacker access to the personal information of over 100 million Americans and 6 million Canadians between March and July.

Elsewhere, semiconductor company Micron (NASDAQ:MU) gained 1.5%, while Chinese coffee company Luckin Coffee (NASDAQ:LK) was up 2%.

In earnings news, Apple (NASDAQ:AAPL) and Advanced Micro Devices (NASDAQ:AMD) report earnings after the closing bell. On the economic front, personal and consumer spending data is released at 8:30 AM ET (12:30 GMT) while pending home sales and consumer confidence comes out at 10:00 AM ET (14:00 GMT).

In commodities, crude oil surged 1.1% to $57.48 a barrel, extending a four-day rally. Gold futures gained 0.5% to $1,427.65 a troy ounce, while the U.S. dollar index, which measures the greenback against a basket of six major currencies, was flat at 97.812, having hit a two-month high overnight.

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