At around 04:30 a.m. ET, Dow futures slipped 154 points, indicating a negative open of more than 130 points. Futures on the S&P and Nasdaq were both seen slightly lower.
Risk aversion has increased in recent days, with disappointing economic data in major economies reawakening fears of a global recession.
It comes at a time when the world’s two largest economies are locked in a protracted trade dispute.
Washington and Beijing have imposed tariffs on billions of dollars’ worth of one another’s goods since the start of 2018, battering financial markets and souring business and consumer sentiment.
Italy’s dispute with the European Commission over its budget, wins for europskeptic parties in EU elections and political turmoil in Austria and Greece have all added to the gloomy market outlook.
In corporate news, Bank of Montreal, 58.com and Abercrombie & Fitch are some of the companies set to report their latest results before the opening bell.
Palo Alto Networks, PVH and Veeva Systems are set to publish their quarterly results after market close.