Futures on US stock indices are trading in red, as investors react negative to the decline in Caterpillar shares and the lack of revenue from Home Depot.
Home Depot surprised investors on pre market, posting quarterly earnings and revenue that did not meet investors expectations. Investors were also worried about the "sell" rating, issued by UBS for Caterpillar shares, referring to the fears of revenue and margins for 2020. UBS also cites a slowdown in global construction demand for Caterpillar's lower prices. Home Depot shares fell 2.4 percent before the bell, while Caterpillar declined by 3.7 percent.
We see signs of correction of key US stocks, while the main US market indices reached levels of resistance. A short-term decline is possible.
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