Stock futures are lower as government shutdown looms: Live updates

Stock futures edged lower Tuesday night as investors measure the ramifications of a looming U.S. authorities shutdown.

Futures tied to the Dow Jones Industrial Average fell 52 points, oregon 0.1%. S&P futures and Nasdaq 100 futures some slipped astir 0.2%.

The moves travel up of the wide expected U.S. authorities stoppage, which volition instrumentality spot astatine midnight unless Congress agrees connected a woody to money the authorities earlier Wednesday's deadline. The Republican-controlled Senate is expected to ballot for a 2nd clip connected a impermanent spending bill, which Democrats privation to usage to codify an hold of wellness attraction taxation credits for millions of Americans.

Earlier Tuesday, the U.S. Securities and Exchange Commission told employees to hole for a imaginable backing lapse, Reuters reported. President Donald Trump called a authorities shutdown "probably likely" and faulted Democrats, saying "I didn't spot them crook adjacent a small bit." Lawmakers blamed each different for the impasse.

The banal marketplace has typically glided by erstwhile authorities shutdowns — but this 1 could beryllium riskier fixed the slew of economical factors astatine play. Investors stay acrophobic astir a slowing labour marketplace and ostentation risks arsenic good arsenic historically elevated banal valuations and marketplace attraction levels. The nonpartisan Congressional Budget Office estimated Tuesday that the shutdown volition effect successful the furlough of astir 750,000 national employees. Over the weekend, Trump threatened wide firings of national workers nether a shutdown.

This clip around, the marketplace is apt to absorption connected the magnitude of the shutdown since a prolonged closure could hold cardinal economical information up of the Federal Reserve's gathering successful precocious October. The Labor Department said Friday it volition unopen down virtually each activity, meaning the September nonfarm payrolls report would not beryllium released astatine the extremity of the week. In the lawsuit of nary jobs data, a speechmaking connected backstage assemblage occupation instauration from payroll processing radical ADP connected Wednesday greeting is expected to instrumentality connected greater significance.

"The deficiency of authorities data, particularly the all-important BLS jobs study connected Friday, does lend a interest arsenic it was owed to beryllium released during a caller play successful which the labour marketplace showed signs of weakening and was a catalyst for the Federal Reserve to trim involvement rates conscionable a mates weeks ago," said Mark Luschini, main concern strategist astatine Janney Montgomery Scott.

"If past is prologue, however, these shutdowns usually extremity reasonably rapidly and walk without overmuch dislocation to equity prices," helium continued. "In the meantime, investors volition thin different information to corroborate grounds that the occupation marketplace and the system are stable."

Indeed, stocks shrugged disconnected worries tied to this shutdown, with major U.S. indexes ending higher on Tuesday to headdress disconnected an unusually beardown trading period successful September. The 3rd quarter, which ended connected Tuesday, saw the S&P 500 log a summation of 7.8%.

The banal marketplace typically gains during authorities shutdowns. Raymond James recovered that stocks person connected mean risen successful the 5 erstwhile authorities shutdowns, with the S&P 500, MidCap 400 and Small Cap 600 each gaining much than 3% implicit those clip periods.

Separately, shares of Nike were up much than 4% successful after-hours trading Tuesday aft the sneaker elephantine surprisingly bushed net and gross expectations successful its fiscal archetypal quarter.