Investing.com - Wall Street futures moved lower on Thursday, amid mounting uncertainty over the fate of a highly anticipated U.S. tax reform bill and as gubernatorial elections resulted in a lanslide victory for the Democratic camp in two U.S. States.
Markets were jittery as a U.S. Senate tax-cut bill, which differs from one in the House of Representatives, was set to be unveiled later Thursday.
The Washington Post reported on Tuesday that Senate Republican leaders were thinking of postponing the implementation of major corporate tax cuts to comply with Senate rules.
Traders are concerned over any potential delays in the implementation of the tax cuts or the possibility that proposed reforms end up being less drastic than hoped for.
Concerns over the fate of the Trump administration's reforms were also sparked by large victories given to Democratic gubernatorial candidates in Virginia and New Jersey on Tuesday.
The blue-chip Dow futures were down 0.29%, the S&P 500 futures fell 0.31%, while the tech-heavy Nasdaq 100 futures declined 0.33%.
Financial stocks were expected to remain in focus on Thursday, after weighing heavily on equity markets in the previous session due to mounting concerns over the Trump administration's capacity to implement its desired reforms.
Bank of America (NYSE:BAC) shares were steady, down only 0.07% in pre-market trade after losing over 1% on Wednesday, while Citigroup (NYSE:C) bounced back by gaining 0.15% before the open.
The tech sector was also likely to be in the spotlight amid reports Snapchat's biggest design shakeup since its launch is scheduled to take place in December.
The news came after parent company Snap Inc (NYSE:SNAP) reported disappointing third-quarter results on Tuesday. Shares in Snap Inc were up 1.08% in pre-market trade after diving more than 14% in Wednesday's session.
Media stocks were also expected to move following reports late Wednesday that the U.S. Justice Department wants AT&T (NYSE:T) to sell Turner Broadcasting, which includes CNN, or DirecTV as condition for approval of the $85 billion AT&T-Time Warner deal.
Responding to the reports, AT&T said it has "no intention" of selling CNN. The telecom giant had announced a cash and stock deal to acquire Time Warner in October 2016.
On the earnings front, Brooks Automation Inc (NASDAQ:BRKS), Chesapeake Utilities Corporation (NYSE:CPK), EV Energy Partners LP (NASDAQ:EVEP), Foresight Energy LP (NYSE:FELP) and Liberty Media Corp (NASDAQ:FWONA) are a few of the names posting results ahead of the opening bell.
After the close, Air Lease Corporation (NYSE:AL), BioTime Inc (NYSE:BTX), Catabasis Pharmaceuticals Inc (NASDAQ:CATB), Intrexon Corpn (NYSE:XON), Marin Software Inc (NYSE:MRIN) and Nordstrom Inc (NYSE:JWN) are set to release earnings.
Market participants were also monitoring President Trump's trip throughout Asia. In a meeting with Chinese counterpart Xi Jinping on Wednesday, Trump said he aims to address what he considers to be unfair practices from China that have led to a mismatch of benefits from U.S.-China trade.
The president went on to say that the current relationship between the two countries is a "very one-sided and unfair one."