US Stock Futures Dip and Global Markets Slip in Wait for FOMC Minutes

New York (Oct 12)  Stock futures edged lower on Wednesday as investors waited on minutes from the latest meeting of the Federal Reserve. Global markets traded lower.

S&P 500 futures were down 0.04%, Dow Jones Industrial Average futures fell 0.06%, and Nasdaq futures declined 0.09%.

The Fed's minutes from its September meeting, out Wednesday afternoon, should showcase how split the central bank was over the health of the U.S. economy and when to raise interest rates. The majority of Federal Open Market Committee members voted to keep rates unchanged near crises levels, though there were three dissenters to that decision.

"The most important aspect of the Minutes will be the extent of disagreement on the Committee over inflation," Societe Generale analysts wrote in a note. "The minutes are likely to reveal a divide between those who think the Fed risks falling behind the curve and those who opt for a risk-management approach to policy, and it will be important to gauge in which direction the centre of the FOMC is leaning."

A rate hike in December currently has a 63% chance, according to CME Group fed funds futures. Chances of a year-end hike increased after the Federal Open Market Committee punted on a September rates hike and said the case for an increase has strengthened.

Global markets were slightly lower, following a selloff in U.S. equities on Tuesday. European markets, including the FTSE 100 in London and Germany's DAX, edged lower as British Prime Minister Theresa May eased her rhetoric over the impending exit of the United Kingdom from the European Union. May offered lawmakers a voice in the Brexit process. The pound sterling rose more than 1% against the U.S. dollar after crumbling to a 31-year low last week.

Source: TheStreet