Wall Street Cautious Ahead Of Private Payrolls Data

(RTTNews) - Sentiment on Wall Street remains cautious on Wednesday, as the major U.S. index futures point to a narrowly mixed. The futures have trimmed much of their early losses following the release of positive eurozone manufacturing data. Among the rest of the global markets, Asian stocks closed mixed, while the European markets are advancing strongly, encouraged by an upward revision to the manufacturing PMI reading for the eurozone. Traders in the domestic markets may also focus on ADP's private payrolls and the Institute for Supply Management's manufacturing data.

As of 6:15 am ET, the Dow futures are adding 4 points and the Nasdaq Composite futures are moving up 0.75 points, while the S&P 500 futures are slipping 2 points.

U.S. stocks suffered a selling spree on Tuesday, as some strong domestic data, the still unsettled Greek debt crisis and the ongoing discussions between Iraq and the U.S. over lifting of sanctions on oil all weighed on sentiment.

On the economic front, San Francisco Federal Reserve Bank President John Williams is due to take part in a panel on financial stability at Atlanta Fed conference in Stone Mountain, Georgia. Atlanta Federal Reserve Bank President Dennis Lockhart will chair a panel on monetary policy at the Atlanta Fed conference in Stone Mountain, Georgia.

Automakers are due to release their monthly sales results for March. Economists expect domestic vehicle sales to come in at a seasonally adjusted annual rate of 16.8 million units, up from 16.2 million units.

ADP is set to release its monthly private payrolls report for March. Economists expect private payrolls to swell by 230,000 compared to the 212,000 jobs added in the previous month. Markit is scheduled to release its final manufacturing reading for the U.S. at 9:45 am ET. The consensus estimate calls for a small increase in the index to 55.3 in March from 55.1 in February.

The Institute for Supply Management is due to release the results of its national manufacturing survey for March at 10 am ET. The consensus estimate calls for the index to dip to 52.5 in March from 52.9 in February.

Also at 10 am ET, the Commerce Department is scheduled to release its construction spending report for February. Construction spending may have edged up 0.2 percent month-over-month following a 1.1 percent drop in January.

The Energy Information Administration will release its weekly petroleum status report for the week ended April 27th at 10:30 am ET.

In corporate news, Simon Property (SPG) confirmed that it has withdrawn its offer to acquire the outstanding shares of Macerich Company (MAC) for $9.50 per share. The company cited the decision of Macerich's board not to engage in discussion for the withdrawal.

Media General (MEG) said one of its selling shareholders has agreed to sell 6.80 million shares at $16 per share. Shaw Communications (SJR) announced the appointment of Vito Culmone as its EVP and CFO, effective June 1st, 2015.

The Asian markets closed on a mixed note, with most markets in the region following the Wall Street lower, while the Chinese and Hong Kong market got a reprieve on the positive Chinese manufacturing data. The Singaporean, Indian and New Zealand markets also saw modest gains.

The Japanese market retreated as the yen firmed up amid the risk aversion and a domestic business sentiment data came in weaker than expected. The Nikkei 225 average ended down 113 points or 0.59 percent at 19,094. Australia's All Ordinaries languished below the unchanged line throughout the session before ending down 27.80 points or 0.47 percent at 5,834.

Hong Kong's Hang Seng Index closed at 25,083, up 181.86 points or 0.73 percent, and China's Shanghai Composite Index added 62.40 points or 1.66 percent before ending at 3,810.

On the economic front, the results of the Bank of Japan's Tankan survey showed that sentiment among large manufacturers remain unchanged in the first quarter of 2015. The large manufacturers' index was unchanged at 12, as opposed to expectations for an increase to 14.

Data released by the Australian Bureau of Statistics showed that building approvals fell 3.2 percent month-over-month in February, smaller drop than the 4 percent decline expected by economists. In January, approvals had risen 7.9 percent.

There was divergence between the results of the manufacturing surveys by the Chinese National Bureau of Statistics and the HSBC/Markit combine. The official data for March rose to 50.1 in March from 49.79 in February. Economists expected a decline to 49.7. Meanwhile, HSBC's survey showed that the manufacturing PMI for China slipped to 49.6 in March from 50.7 in February, although it was an improvement from the flash estimate of 49.2. The official non-manufacturing PMI eased to 53.7 from 53.9 in February.

Ignoring a weak start, European stocks moved higher in early trading and are currently moderately higher. Positive manufacturing data from the region is underpinning sentiment despite the Greek debt crisis.

On the economic front, revised estimates released by Markit showed that eurozone manufacturing activity expanded more than expected in March. The manufacturing PMI rose to a 10-month high of 52.2 in March from 51 in February, higher than the flash estimate of 51.9.

British manufacturing sector expanded at the fastest pace in eight months during March on stronger growth in production and new orders that led to increased hiring, the results of a survey by Markit Economics and the Chartered Institute of Procurement & Supply showed. The Markit/CIPS PMI rose 0.4 points to 54.4. The reading was in line with estimates.