This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Stock Futures Slip Amid Washington Fiscal Drama

NEW YORK ( TheStreet) -- Stock futures took a downbeat tone Wednesday as the fiscal drama in Washington dragged on amid a fast-approaching Oct. 17 deadline for raising the nation's debt ceiling.

While the U.S. budget talks are expected to reach some kind of resolution allowing for a resumption of non-core government services in a couple of weeks or less, there were still jitters about a prolonged impasse that could hamper the economic recovery. Investors expressed concern that lawmakers could harden their positions forcing a gridlocked on the bigger issue of a debt ceiling.

Futures for the S&P 500 were falling 12 points, or 10.55 points below fair value, to 1,677.5. Futures for the Dow Jones Industrial Average were slumping 77 points, or 67.70 points below fair value, to 15,043. Futures for the Nasdaq were slipping 17 points, or 16.85 points below fair value, to 3,228.5.

Alcoa (AA - Get Report) was dipping by 2.57% to $7.96 in premarket trading after Deutsche Bank analyst cut its shares to "sell" from "hold" citing a gloomy outlook for aluminum prices.

BlackBerry (BBRY - Get Report) was down 0.76% to $7.86. The company said that it now expects to incur $400 million in pre-tax charges related to its restructuring program, through fiscal 2014 and the first quarter of fiscal 2015, up from its previous expectation of $100 million of such charges.

In economic reports, private payroll employment grew by a lower than expected 166,000 in September, according to payroll process Automatic Data Processing, versus the average economist expectation of 180,000. August's job gain was revised down to 159,000 from 176,000.

It's now expected the Bureau of Labor Statistics jobs report for September won't be released on Friday until the government resumes operations as usual.

Boston Federal Reserve Bank President Eric Rosengren is expected to speak in Burlington, Vt., at 12 p.m., while Fed Chairman Ben Bernanke and St. Louis Federal Reserve Bank President James Bullard are anticipated to give opening remarks at the St. Louis Fed's Community Banking Research Conference at 3 p.m.

The FTSE 100 in London was falling 0.83% and the DAX in Germany was behind by 0.57%. The Hong Kong Hang Seng finished up 0.55% while the Nikkei 225 in Japan closed down by 2.17%.

The benchmark 10-year Treasury was rising 12/32, pushing the yield down to 2.612%. The dollar was falling 0.04% to $80.11 according to the U.S. dollar index.

December gold futures contracts were surging $8.30 to $1,294.40 an ounce, while November crude oil futures were down by 31 cents to $101.73 a barrel.

-- Written by Andrea Tse in New York

>To contact the writer of this article, click here: Andrea Tse.>

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AA $10.02 0.00%
BBRY $6.68 0.00%
AAPL $93.24 0.00%
FB $117.81 0.00%
GOOG $701.43 0.00%


Chart of I:DJI
DOW 17,660.71 +9.45 0.05%
S&P 500 2,050.63 -0.49 -0.02%
NASDAQ 4,717.0940 -8.5450 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs