Wall Street is bracing itself ahead of a summit level meeting between US President Donald Trump and Chinese President Xi Jinping in Palm Beach, Florida on Thursday and Friday. The two leaders are expected to discuss a host of topics, but trade and North Korea will be at the top of the list. Investors fear that any complications in the meeting could reignite risk aversion, which in turn will pressure equity markets, while bolstering demand for safe-haven assets.
Adding to the worsening sentiment was the disappointing auto sales figures which extended declines for a third straight month despite record levels of incentives for buyers. However, offsetting these concerns is the US corporate earnings season around the corner with Wall Street largely projecting solid profit growth. Dow Jones futures are almost -3.00% below the March highs, with every attempt to rally seeing sellers enter, as the benchmark edges below 20550.