(MENAFN– ecpulse) Wall Street could be headed for another knock Wednesday as investors took in news of a U.S. budget deal that could encourage the Federal Reserve to begin scaling back its economic stimulus.
U.S. stock futures were slightly weaker before the opening bell.
-Futures on the Dow Jones Industrial Average lost 0.031% to 15973
-Futures on the S&P 500 index lost 0.022% to 1802.70
-Futures on the NASDAQ 100 lost 0.043% to 3514.50 . As of 06:10 a.m. ET
Congressional negotiators reached a bipartisan budget compromise on Tuesday that would prevent another shutdown for the U.S. government, if approved by the House and Senate. The deal would increase spending levels, reduce the deficit and relieve some of the arbitrary, forced spending cuts.
The reduced risk of a damaging shutdown could give support to those arguing for the Fed to begin trimming its $85-billion a month bond purchases as early as next week.
European markets were mixed, with only France`s CAC 40 managing to push higher.
Asian markets ended weaker, with Hong Kong`s Hang Seng Index dropping 1.7% and China`s Shanghai Composite falling 1.5%, as heavy pollution blanketed the region.
Tokyo`s benchmark Nikkei 225 closed 0.6% lower and Australia`s ASX All Ordinaries finished the day down 0.7%.
Smith & Wesson shares rose in after-hours trading after the gun maker reported quarterly earnings that beat expectations.
General Motors said Wednesday it was ending production of its iconic Holden model in Australia, casting doubt on the future of the country`s struggling auto industry.
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