U.S. stock index futures posted sharp drops ahead of Monday's open, as losses from markets overseas weighed on sentiment.
Around 7 a.m. ET, Dow futures slipped 130 points. The Nasdaq and the S&P 500 futures also indicated a negative open for their respective markets.
In the previous trading session Friday, Wall Street closed flat to higher, but on the week, stocks posted a loss due to concerns over a potential trade war and turmoil within the U.S. administration.
Stocks in Asia and Europe posted losses during their respective Monday trading sessions, with concerns of a possible trade war.
Forty-five U.S. trade associations — which represent some of the biggest firms in the country — have urged President Donald Trump to not inflict tariffs on China, stating in a letter that this would likely be "particularly harmful" to both U.S. consumers and the economy, according to Reuters.
Earlier this month, Trump had tweeted that he'd asked China for a plan to cut down the trade deficit between the U.S. and China by $1 billion dollars.
G-20 financial leaders are due to meet in Argentina on Monday, where trade will likely be top of the agenda.
Investors are looking ahead to Wednesday's Federal Open Market Committee (FOMC) meeting — which will be headed up by newly-appointed Chair Jerome Powell. The central bank is expected to raise interest rates for the first time in 2018.
Atlanta Fed President Raphael Bostic will be in Miami on Monday to speak at the National Interagency Community Reinvestment Conference.
The quarterly financial report is due out at 10 a.m. ET, while in corporate earnings, Cheetah Mobile and Oracle are due to report.
Two bills auctions and one bills announcement are scheduled to take place Monday.