Stock futures were slightly lower on Tuesday as markets looked as if they would extend losses from a day earlier.
S&P 500 futures were down 0.12%, Dow Jones Industrial Average futures were flat, and Nasdaq futures fell 0.41%.
Benchmark indexes fell around 1% on Monday as the prospects of a December rate hike sank in. The betting is now 70% for a December hike, up sharply from 30% several weeks ago, according to CME Group's Fed funds futures.
The oil market is on the slow track to recovery, according to the latest report from the International Energy Agency. The global oil watchdog predicted oil prices will rebalance at $80 a barrel but not until 2020. However, the agency said that any price gains after 2020 would be "moderated by higher prices ... efficiency policies and switching to alternative fuels." West Texas Intermediate crude was moving higher on Tuesday, up 0.9% to $44.26 a barrel.
Caesars Entertainment (CZR) slumped in premarket trading after reporting disappointing sales over its recent quarter. The casino operator reported revenue of $1.14 billion, well below analysts' estimates of $1.69 billion.
Rackspace Hosting (RAX) climbed nearly 10% before the bell after a better-than-expected third quarter. The cloud-computing company earned 26 cents a share, 6 cents above estimates, while revenue jumped 11% to $508.9 million and beat forecasts by nearly $6 million. The company expects fourth-quarter sales growth between 2% and 3%, above estimates of 1.7% growth.
Atmel (ATML) shares fell nearly 5% after activist hedge fund Elliott Management said it would vote against Dialog Semiconductor's (DLGNF) plans to acquire the chipmaker. The fund, which disclosed a 2.9% stake, said the acquisition was too costly and would do little for streamlining operations.
Vodafone (VOD) moved higher after the telecom raised its full-year earnings guidance. The company expects full-year profit between 11.7 billion and 12 billion pounds compared to previous guidance of 11.5 billion pounds. The guidance factors in the company's first-half loss associated with infrastructure costs.
Gap (GPS) slid 7.4% after reporting that October sales at its Banana Republic brand slumped. The retailer said total sales fell 4.8% to $1.2 billion last month, primarily a result of a strong dollar, while comparable sales dropped 3%. By brand, Gap stores fell 4%, while Banana Republic tumbled 15%.
D.R. Horton (DHI) climbed 2% after a recovery in the housing sector supported strong growth in its fourth quarter. The homebuilder earned 64 cents a share, 2 cents above estimates, while revenue jumped nearly 30% to $3.09 billion. Net sales orders climbed 19% to 8,477 homes.
Lions Gate (LGF) fell more than 6% after the media company reported a far wider loss than expected. By segment, motion pictures revenue fell 11%, while television production sales slumped 21%. The company should see a better second-half on young-adult franchise releases The Hunger Games: Mockingjay Part 2 and Allegiant.