NEW YORK (TheStreet) -- U.S. stock index futures were pointing to a softer start on Wall Street Monday, dragged down by the overall gloomy mood of the global markets.
Dow Jones Industrial Average
Watch the video below for a closer look at how U.S. markets are doing in premarket trading Monday:
Although some worries about an early rate hike are creeping back in and impacting certain sectors such as utilities, consumer staples and telecoms, Pavlik said in the long run a higher interest rate environment will be good for the economy; it would encourage banks to lend more and spur consumer action.
"For the remainder of 2014 I'm still optimistic and I continue to position my client's portfolios with a focus on growth that will arrive as the U.S. returns to a more normalized interest rate environment," said Pavlik.
China's slowing industrial momentum, along with rising fears about leverage in the Chinese economy, was behind a broad slump in the European and Asian markets Monday, with mining stocks leading the way on falling gold, silver, copper and iron ore prices. The SPDR Gold Trust (GLD was off 0.29%. The FTSE 100 in London was down 0.86%, while Hong Kong's Hang Seng index retreated 1.44% to 23,955.49 and China's Shanghai composite plunged 1.7% to 2,289.87.
Chinese finance minister Lou Jiwei reportedly said Sunday that the government has no plans to change its current policy just because the figures are weak. In London, an even bigger faller weighed on sentiment, after Tesco (TSCDY , the U.K.'s largest retailer, suspended four executives and launched an accounting investigation after admitting that its half-year profit was overstated by 250 million pounds ($407 million).
Existing U.S. home sales for August will be published at 10 a.m. EDT. At 10:05 a.m., New York Fed President William Dudley will be speaking at a conference in New York.
In other top corporate headlines on Monday, Germany's Merck said it will acquire Sigma-Aldrich (SIAL for $17 billion in cash. Merck said the combined companies will be able to serve life science customers in a supply chain that can support the delivery of more than 300,000 products to life science customers around the world.
Microsoft (MSFT delayed the launch of its Xbox One game console in China, which had been set for release on Tuesday. Microsoft fell 0.44% in premarket trading.
Apple (AAPL reported its weekend iPhone 6 and iPhone 6 Plus sales topped 10 million units, breaking the company's previous launch weekend sales records. Shares rose 0.84% today.
AutoZone (AZO posted mixed fourth quarter earnings of $11.28 per diluted share, compared to the $11.26 analysts estimated. Revenue for the quarter was $3.05 billion, beating analysts' expectations of $3.07 billion. Shares were down % in early market trading.
-- By Andrea Tse and Kurumi Fukushima in New York