Stock futures slide amid shutdown, ADP eyed LONDO

Stock futures slide amid shutdown, ADP eyed
LONDON (MarketWatch) — U.S. stock-market futures pointed to a sharply lower open on Wall Street on Wednesday as investors grew increasingly worried about political wrangling over the budget and the potential impact on debt-ceiling negotiations.

The ADP jobs report, a gauge on the labor market in September, will get attention before the opening bell.

Futures for the Dow Jones Industrial Average (CBT JZ3) dropped 92 points, or 0.6%, to 15,028, while those for the S&P 500 index (GLC:SPZ3) lost 12.90 points, or 0.8%, to 1,676.50. Future for the Nasdaq 100 index (CME:NDZ3) fell 17.50 points, or 0.5%, 3,228.00.

The losses came as the government shutdown moved into day two after lawmakers failed to agree on a budget to fund the new fiscal year that began Tuesday. On the first day of the shutdown, markets closed with gains on hopes the closure would be short-lived, but on Wednesday, fears that the impasse could be a lengthy affair weighed on sentiment.

“Markets had taken a fairly sanguine approach to the whole shutdown…but I think because parties remain so entrenched, the fear is that the impasse will go on for longer than investors may have anticipated,” said Rebecca O’Keeffe, head of investment at stockbroker Interactive Investor.

As lawmakers wrangle over the budget, the deadline for sealing a deal on raising the country’s borrowing also limit gets closer. A failure to reach an agreement there is considered a bigger risk to financial stability. http://www.marketwatch.com/story/stock-future...2013-10-02