Futures lower on concerns over rate hike, slow growth

[February 29, 2016]  By Abhiram Nandakumar

(Reuters) - U.S. stock index futures fell on Monday as investors worried about the Federal Reserve pressing ahead with its plan to raise interest rates this year.

* Global markets were lower after a two-day meeting of G20 leaders ended with no new plan to spark global growth.

* Brent crude futures edged higher on rising hopes the market has bottomed out.

* Wall Street closed lower on Friday, after a rally earlier in the week lost steam.

* The S&P 500 <.SPX> is poised for three straight months of declines, after a sharp drop in crude prices sparked one of the worst starts to a year for stocks. Up to Friday's close, the index was down 4.7 percent this year.

* Still, the index closed above its 50-day moving average, which some traders say is a sign of improving sentiment.

* Adding to the optimism was upbeat data, including strong consumer spending trends, released last week that suggested the U.S. economy was recovering better than expected.

* Investors and the Fed will now look to Friday's comprehensive U.S. jobs report for further evidence on whether the economy was strong enough to absorb higher interest rates.

* Federal funds futures implied traders see a 38 percent chance of the Fed raising rates in June and a 57 percent chance in December, according to CME Group's FedWatch program.

* New York Fed President William Dudley is slated to speak on policy at a banking conference in China.

* Shares of Valeant were down 5.8 percent at $76.01 premarket after the Canadian drugmaker said its chief executive would return from medical leave, and it delayed the release of its quarterly results.

Futures snapshot at 7:05 a.m. ET:

* Dow e-minis were down 43 points, or 0.26 percent, with 36,779 contracts changing hands.

* S&P 500 e-minis  were down 4.5 points, or 0.23 percent, with 243,200 contracts traded.

* Nasdaq 100 e-minis  were down 17.25 points, or 0.41 percent, on volume of 35,971 contracts.

(Reporting by Abhiram Nandakumar in Bengaluru; Editing by Anil D'Silva)

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