Monday September 26th

26-09-2016

Dow futures fall 100 points; presidential debate and OPEC meeting in focus

U.S. stock index futures fell on Monday, indicating a lower start to trade on Wall Street as global shares fell ahead of the oil producers' meeting in Algiers. Dow futures fell 100 points, while S&P and Nasdaq futures dropped 9 points and 28 points, respectively. Crude oil prices gained early on Monday, after media reports cited the Algerian energy minister saying all options were possible for an output cut or freeze among members of the oil-producing cartel OPEC. That came ahead of this week's meeting of major oil-producing countries in Algeria. OPEC member countries will meet informally on the sidelines. Brent crude futures rose 70 cents to $46.59 a barrel, having rallied from a session low of $45.74, while U.S. crude prices rose 60 cents to $45.05 a barrel. Globally, investors are also watching the upcoming debate between U.S. presidential candidates Hillary Clinton and Donald Trump on Monday evening. Recent polls have shown the two candidates neck-and-neck ahead of the election in November. U.S. economic data due on Monday include monthly new home sales. U.S. companies posting earnings on Monday included Carnival Corporation and Cal-Maine Foods ahead of the market open. Vail Resorts also posted quarterly results before the bell. Asia markets were lower on Monday, with sentiment this week likely to be dominated by the first U.S. presidential debate, as well as an upcoming informal meeting of OPEC producers. In South Korea, the Kospi closed down 6.96 points, or 0.34 percent, at 2,047.11. In Hong Kong, the Hang Seng index was down 1.42 percent in late-afternoon trade. Chinese mainland markets closed lower, with the Shanghai composite down 52.64 points, or 1.74 percent, at 2,981.24, while the Shenzhen composite shed 41.51 points, or 2.06 percent, to 1,966.60. Japan's Nikkei 225 lost 209.46 points, or 1.25 percent, to 16,544.56, after a speech from Bank of Japan (BOJ) Governor, Haruhiko Kuroda, sent the yen higher. Gold retreated on Monday as last week's rally ran out of steam, with focus switching to a U.S. presidential debate later in the day which could prove a key pointer to the outcome of November's election. Spot gold was at $1,336.76 an ounce at 7.34 AM ET, down 0.1 percent, while U.S. gold futures for December delivery were down 0.1 percent an ounce at $1,340.90.