* Trump-Xi meeting set for Thursday and Friday
* Investors appear averse to risk assets
* Bank of America down on Citigroup downgrade
* Futures down: Dow 58 pts, S&P 8.75 pts, Nasdaq 22.75 pts
(Adds details, comments, updates prices)
By Yashaswini Swamynathan
April 4 U.S. stocks looked set to open lower on
Tuesday as investors fretted over the ability of President
Donald Trump to deliver on his policy plans, and the outcome of
his potentially tense meeting with Chinese President Xi Jinping
later this week.
Trump, known to have a protectionist stance on trade, has
held out the possibility of using trade as a lever to secure
China's cooperation against North Korea when he meets Jinping on
Thursday and Friday.
The major U.S. stock indexes have hit record highs on
Trump's promises of tax cuts, looser regulations and higher
However, his administration's recent struggles to push
legislation through Congress, particularly a healthcare reform
bill, has raised questions whether they could deliver its
pro-business economic stimulus.
Those doubts came back to the forefront on Monday when some
U.S. states accused Trump's administration of illegally
suspending energy efficiency standards, while Democrats amassed
enough support to block a confirmation vote for Trump's Supreme
"Traders are keeping a close political watch on the various
upcoming events and are not likely to increase risk ahead of
what may turn out to be a critical Trump, Xi meeting," Peter
Cardillo, chief market economist at First Standard Financial
wrote in a note.
Dow e-minis were down 58 points, or 0.28 percent at
8:31 a.m. ET (1231 GMT), with 22,637 contracts changing hands.
S&P 500 e-minis were down 8.75 points, or 0.37
percent, with 145,320 contracts traded.
Nasdaq 100 e-minis were down 22.75 points, or 0.42
percent, on volume of 28,939 contracts.
Shares of Bank of America fell 1.7 percent to $23.19
in premarket trading on Tuesday after Citigroup downgraded the
stock to "neutral" from "buy".
Nvidia was down 3.1 percent at $105 after Pacific
Crest downgraded the chipmaker's stock to "underweight" from
Paratek Pharmaceuticals surged 36 percent to $25.30
after its lead antibiotic drug succeeded in a study.
(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by