US pre-open: Futures point to losses after Nasdaq notches record close
Wall Street futures were pointing to losses ahead of the bell on Wednesday after the Nasdaq Composite notched a new record high in the previous session.
As of 1230 BST, Dow futures were down 0.89%, while S&P 500 and Nasdaq-100 futures were 0.73% and 0.39% lower, respectively.
The Dow Jones closed 131.14 points higher on Tuesday and the Nasdaq cracked the 10,100 barrier despite some volatile trading overnight as comments regarding the US-China phase one trade deal by White House trade advisor Peter Navarro were allegedly taken "wildly out of context".
Market participants were keeping a keen eye on trade news between the US and the EU after a report from Bloomberg suggested that Washington was planning to slap £3.1bn worth of tariffs on various exports from the UK, France, Germany and Spain - including olives, beer, gin and trucks.
The report comes just a day after Navarro's comments that the US-China trade deal was "over" sent a shockwave across the Street.
SpreadEx's Connor Campbell said: "The mood of trading went from bad to worse on Wednesday, as a new US-led trade issue emerged to add an extra dose of sourness to the session’s sickly broth.
"Just as Trump seemed to momentarily put to bed the market’s fears surrounding the US-China trade situation – the President tweeted that their deal was intact – a situation seems to be about to flare up between the States and Europe."
On the corporate front, Apple shares hit a new all-time high on Tuesday after unveiling new operating systems for its iPhone and MacBooks.
In terms of macro data, total mortgage application volume fell 8.7% last week, according to the Mortgage Bankers Association.
However, homebuyer mortgage applications have now surged for five consecutive weeks, due to pent-up demand from March and April and a coronavirus-induced desire by more consumers to find more space and escape urban apartments
Still to come, April's house price index will be released at 1400 BST.
Federal Reserve heads Charles Evans and James Bullard will deliver speeches at 1730 BST and 2000 BST, respectively.