US STOCKS-Futures point to lower open as shutdown continues

Wed Oct 2, 2013 8:43am EDT
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* Government shutdown enters second day; no end in sight

* ADP report shows fewer jobs added in Sept than expected

* Monsanto drops in premarket after fourth-quarter loss

* Futures down: Dow 100 pts, S&P 11.1 pts, Nasdaq 15.5 pts

By Ryan Vlastelica

NEW YORK, Oct 2 (Reuters) - U.S. stock index futures pointed to a lower open on Wednesday as a partial government shutdown in Washington entered a second day, adding to concerns over how soon a political compromise would be reached.

There were few signs that Congress was making progress in agreeing on a spending bill that would reopen operations. The Democratic-led U.S. Senate voted Tuesday to kill Republicans' latest attempts to modify an emergency funding bill, and sent a "clean" measure back to the House of Representatives that would extend funding for government agencies until Nov. 15.

U.S. Treasury Secretary Jack Lew said late Tuesday the Treasury had started using its final tools to push back the date when the government will run out of legal borrowing authority.

The shutdown's impact on economic growth and market volatility will likely increase the longer it continues. Market participants are also watching the situation for an indication of how an impending debate on the debt ceiling might play out. That issue is considered far more important for the economy, as it could result in an unprecedented debt default if not passed.   Continued...