On the floor of the NYSE in New York, traders work on the floor.
On Thursday, Reuters-U.S stock index futures fell as rising oil prices exacerbated inflation worries, while high-growth stock Tesla fell on worries over funding for Elon Musk's proposed buyout of Twitter.
After a report on Wednesday showing strong U.S. labor demand, fears of aggressive interest rate hikes by the Federal Reserve have returned to the forefront.
The yields on the 10 year Treasury note went up for the second day and fell as rate-sensitive growth stocks fell. Microsoft Corp, Nvidia Corp and Twitter fell in premarket trading from 0.7% to 1.2%.
Tesla Inc fell 1.1% after Apollo Global Management Inc and Sixth Street Partners, which were looking to provide funding for Musk's $44 billion Twitter deal, are no longer in talks with the billionaire.
Oil prices held near three-week highs after the OPEC group of nations' largest supply cut since 2020 ahead of European Union embargoes on Russian energy, which is set to tighten global oil supply.
This comes a day after data showed increased monthly hiring by private employers in America and a rise in the ISM's services industry employment gauge, suggesting that the Fed will keep interest rates higher for longer.
Money markets are pricing in a more than 80% chance of a fourth straight 75 basis point rate hike at the upcoming Fed meeting on November 1 -- 2.
After Fed's San Francisco President Mary Daly underscored the central bank's commitment to curb inflation with more interest rate hikes, other officials including Cleveland President Loretta Mester, Fed Board Governor Lisa Cook, Board Governor Christopher Waller and Chicago President Charles Evans will also be on the watch-list.
An initial jobless report is due at 8: 30 a.m. The number of Americans filing for unemployment claims is expected to increase by 10,000 from the previous week, as in 203,000 Americans are expected to have filed for the week-end October 1, according to ET.
There are growing concerns about a looming recession in corporate leadership, which is expected to weigh on capital spending and job openings, Goldman Sachs said in a note.
The Dow eminis fell by 172 points, or 0.57%, S&P 500 e-minis were down 25.25 points, or 0.67%, and Nasdaq 100 e-minis were down 79.75 points, or 0.69%.