US futures dive sharply as Wall Street rout beats markets

Michael Nagle | Bloomberg | Getty Images

Traders are working on the floor of the New York Stock Exchange (NYSE) in New York, United States on Wednesday, November 9, 2016.

Stock markets around the world are in red on Thursday, after the Dow Jones industrial average dropped by more than 800 points in the previous session as worries over rising rates continued to stifle markets. On Thursday, shares in the Asia-Pacific region saw a sharp drop at the close of markets, while European equities fell as the sale of equities spread to global markets.

In previous sessions, US Treasury yields have kept investors on their guard. On Wednesday, Treasury bond yields eased somewhat after the benchmark 10-year Treasury yield hit a seven-year high on Tuesday and the 30-year bond yield reached its highest level since 2014. On Thursday, Treasury yields posted sharp declines.

Concerns over rising interest rates continue to keep investors on the edge, as solid economic data rounds off worries about what this could mean for the future of US monetary policy and therefore the economy .

Although no senior official of the US Federal Reserve speaks Thursday, the Central Bank continues to make headlines. On Wednesday, President Donald Trump criticized the Fed's strategy on more than one occasion, claiming that the institution "was making a mistake" after leaving Air Force One for a rally in Pennsylvania. In a phone interview with Fox News, he said he was not happy with the Fed, saying the situation was "optimistic" and there was no reason for them to continue to raise rates as were.

However, Thursday, the Managing Director of the International Monetary Fund, Christine Lagarde, refuted Trump's claims, saying that she "would not associate" Fed Chairman Jerome Powell "with madness".

Consumer price index figures are expected to be available today at 8:30 am ET, which will be of major importance for investors. Depending on the outcome, this could mitigate or deteriorate the market sentiment. Elsewhere, claims for Employment Insurance benefits are due at 8:30 am Paris time, while the Treasury's budget is due at 2:00 pm. AND.

On the corporate side, Walgreens Boots Alliance and Delta are expected to release their latest financial results.

Investors will also prepare for any news from the US administration ahead of mid-term elections – scheduled for November.