Investing.com - U.S. stock markets pointed to a lower open on Tuesday, tracking losses in global equity markets, as further weakness in oil prices dampened demand for riskier assets.
The blue-chip Dow futures shed 27 points, or 0.17%, by 11:00GMT, or 6:00AM ET, after being down more than 100 points earlier. The S&P 500 futures slumped 5 points, or 0.23%, while the Nasdaq 100 futures dropped 14 points, or 0.33%.
China stock markets fell sharply on Tuesday, with the Shanghai Composite plunging more than 6% to end at a 13-month low, after a late bout of panic selling triggered by intensifying global growth concerns and ongoing weakness in oil prices.
The rest of Asia closed deep in the red, as oil prices sank back below $30 a barrel. Japan’s Nikkei 225 slumped 2.35%, while markets in Hong Kong and South Korea lost 2.4% and 1.15% respectively.
The gloomy mood spilled over to European equity markets, where Germany's DAX crashed more than 1.5% at the open.
Oil futures fell back below the $30-level as investors shifted their focus back to concerns over a global supply glut and slowing global demand. The drop in oil prices, which are down more than 75% from their 2014 high, has fueled mounting risk aversion, sending global equities sharply lower since the start of the year.
Apple (O:AAPL) is due with its fiscal first quarter results in after-hours trade Tuesday. The iPhone maker is expected to report a profit of $3.24 a share on revenue of $76.4 billion.
Investors were anxious to hear how many new iPhones were sold during the holiday quarter and its guidance for the current three-month period.
Other companies reporting earnings Tuesday include, Procter & Gamble Company (N:PG), Johnson & Johnson (N:JNJ) and 3M Company (N:MMM).
The Conference Board will publish data on January consumer confidence at 10:00AM, with market players expecting the index to hold steady at 96.5.
Traders also looked ahead to the Federal Reserve's two-day monetary policy meeting due to begin later in the day. The Fed is widely expected to keep interest rates on hold at the conclusion of its meeting on Wednesday after hiking rates for the first time in almost a decade in December.
Investors were looking to the Fed policy statement for any indication that the bank is considering slowing the path of interest rate increases this year after recent global financial market turmoil.