US stocks were set for heavy losses Friday after President Donald Trump said he will impose up to 25% tariffs on all Mexican imports.
In a tweet late Thursday, Trump said that Mexican tariffs will start at 5% and will quickly rise to 25% until illegal immigration from the southern border has stopped.
Oil prices nudged lower with global benchmark Brent crude down 2.78% and US crude West Texas Intermediate down 2.17% recently as the US added another front to its ongoing trade war.
Data released at 8:30 am showed personal income, consumer spending and the PCE price index rose 0.5%, 0.3% and 0.3%, respectively, for the month of April vs estimates for gains of 0.3%, 0.2% and 0.3% and previous month’s gains of 0.1%, 0.9% and 0.2%, according to data compiled by Econoday.
At 9:45 am, forecasters see the business barometer index based on the Institute for Supply Management – Chicago survey coming in at 53.6 for May vs April’s 52.6.
In equities, shares of Ameri100 (AMRH) were 36.5% higher pre-bell after the company said it initiated a proof of concept to migrate a key client to the Google Cloud platform.
U.S. PRE-MARKET INDICATORS
-Dow Jones Industrial down 1.10%
-S&P 500 futures down 1.15%
-Nasdaq 100 futures down 1.40%
-Nasdaq 100 pre-market indicator down 0.98%
Nikkei down 1.63%
Hang Seng down 0.79%
Shanghai Composite down 0.24%
FTSE-100 down 1.04%
DAX-30 down 1.86%
PRE-MARKET SECTOR WATCH
(-) Large cap tech: unchanged to lower
(-) Chip stocks: lower
(-) Software stocks: lower
(-) Hardware stocks: unchanged to lower
(-) Internet stocks: lower
(-) Oil stocks: unchanged to lower
(-) Biotech stocks: unchanged to lower
(-) Drug stocks: unchanged to lower
(-) Financial stocks: lower
(-) Retail stocks: unchanged to lower
(-) Industrial stocks: unchanged to lower
(-) Airlines: unchanged to lower
(-) Autos: unchanged to lower
(+) UBER (+2.4%) Q1 revenue, loss beat market expectations
(+) BBW (+3.1%) Fiscal Q1 profit, revenues rise YoY
(-) TSLA (-2.3%) Prices China-made Model 3 between CNY328,000 to CNY522,000
(-) BABA (-1.3%) Invests $100 million in video app Vmate, report says
(-) NTNX (-20.2%) Q3 results mixed vs estimates