Futures dip as debt ceiling talks drag on

(Reuters) – U.S. stock index futures slipped on Wednesday as yet another round of talks between the White House and Republican representatives over raising the debt ceiling failed to make a breakthrough.

The lack of progress in talks to raise the $31.4 trillion borrowing limit ahead of the June 1 deadline has weighed on Wall Street, with its benchmark indexes ending the previous session sharply lower.


Investors also await minutes from the Federal Reserve’s May 2-3 meeting, due later in the day, to assess the central bank’s interest-rate path.

Shorter-dated Treasury yields continued to rise, with yields on the 1-month bond hitting another record high at 5.8920%.

At 5:39 a.m. ET, Dow e-minis were down 75 points, or 0.23%, S&P 500 e-minis were down 8.25 points, or 0.2%, and Nasdaq 100 e-minis were down 13.25 points, or 0.1%.

Among early movers, Agilent Technologies Inc shares fell 9.1% in premarket trading after the company cut its annual sales and profit forecasts.

Several midcap retailers are scheduled to report results on Wednesday including Kohl’s Corp, American Eagle Outfitters Inc and Abercrombie & Fitch Co.

Chipmaker Nvidia Corp dipped 0.8% ahead of its quarterly earnings after markets close.

(Reporting by Shreyashi Sanyal in Bengaluru; Editing by Vinay Dwivedi)