Investing.com - U.S. stock markets pointed to a flat open on Wednesday morning, as investors waited for more clues on the timing of the next U.S. interest rate hike.
The blue-chip Dow futures inched down 3 points, or 0.02%, by 6:59AM ET (10:59GMT), the S&P 500 futures dipped 1 point, or 0.03%, while the tech-heavy Nasdaq 100 futures tacked on 6 points, or 0.12%.
U.S. stocks rose slightly on Tuesday, nudging the Nasdaq to a record high close, as surprisingly weak U.S. service sector data reinforced expectations the Federal Reserve will hold off on raising rates later this month.
Investors now focused on the next set of U.S. data and Fed speakers for further guidance on the timing of the next interest rate hike.
Job Openings and Labor Turnover data is due at 10:00AM ET (14:00GMT), while the Fed publishes its Beige Book on the economy at 2:00PM ET (18:00GMT).
Meanwhile, Richmond Fed chief Jeffrey Lacker and Kansas City Fed president Esther George are both due to testify at a hearing before the House Committee on Financial Services' subcommittee on Monetary Policy and Trade at 10:00AM ET (14:00GMT).
Both members are known for their hawkish stance but attention will most likely focus on George who is a voting member of the FOMC and was the only Fed official to vote against the July decision due to her preference to increase the rate in 25 basis points.
According to Investing.com's Fed Rate Monitor Tool, investors are pricing in a 21% chance of a rate hike at the Fed's September 20-21 meeting. For December, odds stood at around 50%.
Among active pre-market movers, shares of Apple (NASDAQ:AAPL) were slightly higher ahead of the launch of its new iPhone 7, which is expected to be announced at the company’s annual product launch in San Francisco on Wednesday afternoon.
Shares of Chipotle Mexican Grill (NYSE:CMG) jumped almost 7% after activist investor Bill Ackman's hedge fund took a 9.9% stake in fast-casual Mexican food chain.
On the earnings front, Hewlett Packard Enterprise Co (NYSE:HPE), Guidewire Software Inc (NYSE:GWRE) and HD Supply Holdings (NASDAQ:HDS) are slated to release their latest quarterly results.
Elsewhere, European and U.K. stock markets were slightly higher in choppy mid-morning trade Wednesday, as investors looked ahead to the European Central Bank's policy decision on Thursday.
Earlier, Asian shares closed mostly higher overnight, but Japan’s Nikkei declined 0.4% lower, pressured by a stronger yen.
The reduced possibility for an imminent rate hike sent the dollar to a more than one-week low against major currencies such as the yen and euro.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was at 94.84 early Wednesday, after falling to 94.68 overnight, a level not seen since August 26.
Meanwhile, oil prices were up around 1% early on Wednesday, as sentiment got a boost after Iran signaled it was prepared to work with Saudi Arabia and Russia to prop up the market.