Futures edged lower Tuesday following a lower-than-expected GDP figure and following the previous session’s sharp sell off.
The U.S. economy grew at a slightly slower pace than previously estimated in the third quarter, but weak inventory accumulation amid sturdy consumer spending strengthened views output would pick up in the current quarter.
Gross domestic product grew at a 2.0 percent annual rate in the third quarter, the Commerce Department said in its second estimate on Tuesday, down from the previously estimated 2.5 percent.
Stocks plunged sharply in the previous session, as the lack of progress in dealing with heavy debt both in the United States and Europe further sapped investor confidence in equities.
Meanwhile, ratings agencies Moody’s and Standard & Poor’s said there were no immediate plans to downgrade the credit rating of the U.S. following the failure of a bi-partisan Congressional “super committee” to reach agreement on reducing the US budget deficit.
But Fitch, the third leading ratings agency, which currently has the most positive rating of the three on U.S. debt, said it could cut the outlook on its "triple-A" rating, with a downgrade an outside possibility.