U.S. stock futures are falling by about 1% and many European markets are dropping by as much as 2% in early trading.
Ahead of the opening bell, futures for the Dow Jones Industrials retreated 138 points, or 0.8%, to 16,202, futures for the S&P 500 dipped 17 points, or 0.9%, to 1,914.25. NASDAQ futures sagged 37.25 points, or 0.9%, to 4,254.25.
Shares in Google's parent company Alphabet are set to jump by as much as 5% at the open after the company reported an impressive set of quarterly results.
If confirmed, this move higher would make Alphabet the most valuable company in the world, surpassing long-time heavyweight Apple.
Alphabet's valuation surpassed Apple's on Monday, but it didn't last for long.
The oil industry is also in focus after BP reported a dismal set of results. Shares in BP are dropping by 8% in London and other oil companies are also in the red. U.S. crude oil futures are down about 4% below $31.00 U.S. per barrel.
Shares in toy maker Mattel are jumping by 6% pre-market based on an upbeat earnings report. The company -- which sells Barbie, Hot Wheels and Fisher-Price brands -- has been in the midst of a turnaround.
And PVH Corp, which owns fashion brands such as Tommy Hilfiger and Calvin Klein, is seeing its shares shoot up by about 6% pre-market after the company raised earnings expectations for the past year.
Exxon, UPS, Pfizer, Ferrari and Michael Kors are among the key companies reporting earnings before the open.
Asian markets all closed the day with losses, except two key Chinese indexes, which shot up during the day.
Oil prices lowered 76 cents to $30.86 U.S. a barrel
Gold prices dropped $2.18 to $1,126.23 U.S. an ounce.
Source: WallSt Money US Market Commentary
(February 2, 2016 - 9:27 AM EST)
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