08:22 AM EDT, 07/17/2024 (MT Newswires) -- The broad market exchange-traded fund SPDR S&P 500 ETF Trust ( SPY ) was down 1% and the actively traded Invesco QQQ Trust (QQQ) was 1.6% lower in Wednesday's premarket activity amid tech sector concerns over potential US export restrictions on China and former US president Donald Trump's comments on Taiwan.

US stock futures were also lower, with S&P 500 Index futures down 1%, Dow Jones Industrial Average futures slipping 0.3%, and Nasdaq futures retreating 1.6% before the start of regular trading.

Mortgage applications increased by 3.9% in the week ending July 12, rebounding from a previous decline, as 30-year fixed mortgage rates fell to their lowest since March. Refinancing applications rose by 15%, while new purchase applications dropped by 3%, with the average 30-year fixed mortgage rate decreasing to 6.87% from 7%.

The June housing starts and permits bulletin will be released at 8:30 am ET, followed by the June industrial production report at 9:15 am ET.

The Atlanta Fed Business Inflation Expectations for July posts at 10 am ET and the weekly EIA petroleum status report at 10:30 am ET.

The Federal Reserve's Beige Book, an eight-times-a-year compendium of reports from the 12 regional Reserve banks, posts at 2 pm ET.

Richmond Federal Reserve President Thomas Barkin speaks at 9 am ET, and Governor Christopher Waller at 9:35 am ET.

In premarket action, bitcoin was down by 0.5% and the cryptocurrency fund ProShares Bitcoin Strategy ETF ( BITO ) was 0.7% lower.

Power Play:

Health Care

The Health Care Select Sector SPDR Fund ( XLV ) retreated 0.6%. The Vanguard Health Care Index Fund ( VHT ) was down 0.5% while the iShares US Healthcare ETF ( IYH ) was flat. The iShares Biotechnology ETF ( IBB ) was 0.6% lower.

Adverum Biotechnologies ( ADVM ) shares were down more than 13% premarket even after the company said that a 26-week interim analysis of its mid-stage trial of its novel gene therapy candidate, Ixo-vec, in patients with wet age-related macular degeneration showed the drug has a "potential best-in-class" product profile.

Winners and Losers:

Consumer

The Consumer Staples Select Sector SPDR Fund ( XLP ) was down 0.1%, while the Vanguard Consumer Staples Fund (VDC) was flat. The iShares US Consumer Staples ETF ( IYK ) was inactive, and the Consumer Discretionary Select Sector SPDR Fund ( XLY ) lost 0.7%. The VanEck Retail ETF ( RTH ) was inactive, while the SPDR S&P Retail ETF ( XRT ) was 1.8% lower.

VF (VFC) stock traded up 5.5% pre-bell after the company said that it entered into a definitive agreement to sell its Supreme brand to EssilorLuxottica for $1.50 billion in cash.

Technology

Technology Select Sector SPDR Fund ( XLK ) lost 2.2%, the iShares US Technology ETF ( IYW ) declined 1.8%, and the iShares Expanded Tech Sector ETF ( IGM ) retreated 1.5%. Among semiconductor ETFs, SPDR S&P Semiconductor ETF ( XSD ) was down 1.8%, while the iShares Semiconductor ETF ( SOXX ) fell 3.4%.

Taiwan Semiconductor Manufacturing Co. ( TSM ) shares fell 5.4% in recent premarket activity Wednesday after Donald Trump in an interview with Bloomberg Businessweek said Taiwan should pay the US for its defense as "it doesn't give us anything".

Industrial

Industrial Select Sector SPDR Fund ( XLI ) declined 0.5% while the Vanguard Industrials Index Fund ( VIS ) and the iShares US Industrials ETF ( IYJ ) were inactive.

The GEO Group ( GEO ) shares were down 1.6% before the opening bell after the company said that it extended its offer to exchange up to $650 million principal amount of registered 8.625% senior secured notes due 2029 for its $650 million unregistered 8.625% senior secured notes due 2029 that were issued in April.

Financial

Financial Select Sector SPDR Fund ( XLF ) retreated 0.3%. Direxion Daily Financial Bull 3X Shares ( FAS ) was down 1%, while its bearish counterpart Direxion Daily Financial Bear 3X Shares ( FAZ ) was 1% higher.

US Bancorp ( USB ) shares were up 1.2% pre-bell Wednesday after the company reported higher-than-expected Q2 financial results.

Energy

The iShares US Energy ETF ( IYE ) was inactive, while the Energy Select Sector SPDR Fund ( XLE ) was marginally down by 0.01%.

VAALCO Energy ( EGY ) shares were up 0.3% before Wednesday's opening bell after the company on Tuesday reported historical financial statements and updated reserves disclosures related to its acquisition of Svenska Petroleum Exploration, showing that the SEC net proved reserves as of Dec. 31, 2023, were higher than previous estimates.

Commodities

Front-month US West Texas Intermediate crude oil gained 0.5% to reach $81.13 per barrel on the New York Mercantile Exchange. Natural gas advanced 0.6% to $2.20 per 1 million British Thermal Units. United States Oil Fund ( USO ) was up 0.3%, while the United States Natural Gas Fund ( UNG ) was 0.6% higher.

Gold futures for August were up 0.3% at $2,474 an ounce on the Comex, while silver futures declined 0.8% to $31.21 an ounce. SPDR Gold Shares ( GLD ) gained 0.1%, while iShares Silver Trust ( SLV ) was 1% lower.