NEW YORK -
Stock index futures fell on Monday after the World Bank cut its growth forecasts for East Asia, highlighting concerns about the global economic climate and corporate profits ahead of the upcoming earnings season.
The international lender reduced its growth forecasts for the for East Asia and Pacific region and said there was a risk the slowdown in China could worsen and last longer than many analysts have forecast.
China, the world's second largest economy, has seen its economy hampered by the euro zone debt crisis as the nation is a large trade partner with Europe.
The third-quarter earnings season will kick off on Tuesday with results from Dow component Alcoa Inc
Recent earnings warnings from large multinationals such as FedEx Corp
According to Thomson Reuters data through Friday, 91 companies in the S&P 500 have issued a negative outlook versus 21 positive preannouncements for a ratio of 4.3, the weakest showing since the third-quarter of 2001.
On Monday, S&P 500 futures fell 5.5 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures lost 47 points, and Nasdaq 100 futures lost 16.25 points.
There are no economic events or S&P 500 companies scheduled to report earnings on Monday and trading may be light for the Columbus Day holiday.
Health insurer UnitedHealth Group
Wal-Mart Stores Inc
General Motors Co
Asian and European shares also fell in the wake of the World Bank growth forecasts for East Asia.
(Reporting by Chuck Mikolajczak Editing by W Simon)