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US STOCKS-Wall St set to open lower as Trump-Kim summit starts, India-Pakistan tensions flare

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* U.S.-North Korean nuclear summit starts in Hanoi

* Impact of India-Pakistan tensions spreads from Asia toEurope

* Mylan hit by Q4 profit miss; Best Buy jumps on Q4 resultsbeat

* Futures down: Dow 0.16 pct, S&P 0.16 pct, Nasdaq 0.21 pct (Adds comments, details, updates prices)

By Shreyashi Sanyal

Feb 27 (Reuters) - Wall Street was set to open slightlylower on Wednesday, mirroring losses in global markets, as thesecond U.S.-North Korean nuclear summit kicked off and tensionsflared up between nuclear-armed neighbors India and Pakistan.

North Korean leader Kim Jong Un and Donald Trump met inHanoi, with the U.S. president saying he was not walking back onU.S. demands for North Korea's denuclearisation.

India and Pakistan both said on Wednesday they shot downeach other's fighter jets , a day after Indian warplanes struckinside Pakistan for the first time since a 1971 war, promptingworld powers to urge restraint.

"Tension between India and Pakistan is weighing on marketsthis morning ahead of a very busy day of events," said PeterCardillo, chief market economist at Spartan Capital Securitiesin New York.

"We don't expect (Federal Reserve Chair Jerome) Powell'ssecond round of testimony before the U.S. House FinancialCommittee to change, thereby keeping the focus on geopoliticalworries and the Trump-Kim summit that will likely lead to amixed market session."

Powell said on Tuesday that the Fed was in "no rush to makea judgment" about further changes to interest rates and thatrising risks and recent soft data should not prevent solidgrowth for the U.S. economy this year.

The Fed's dovish signals and optimism around China-U.S.trade talks have boosted equities in recent weeks, pushing thebenchmark S&P 500 index .SPX to within roughly 5 percent ofits record closing high hit in late September.

At 8:38 a.m. ET, Dow e-minis 1YMc1 were down 41 points, or0.16 percent. S&P 500 e-minis ESc1 were down 4.5 points, or0.16 percent and Nasdaq 100 e-minis NQc1 were down 15.25points, or 0.21 percent.

Among stocks, shares of Mylan NVMYL.O sank 9.3 percent inpremarket trading after the generic drugmaker missed quarterlyprofit estimates and forecast weak 2019 earnings, as it grappledwith significant problems at its Morgantown, West Virginiaplant.

Best Buy Co IncBBY.N jumped 11.6 percent after theconsumer electronics retailer beat analysts' estimates forquarterly same-store sales, while announcing a hike in dividendand a plan to buy back shares

Lowe's Companies IncLOW.N rose 4.6 percent after the U.S.home improvement chain's fourth-quarter profit beat marketexpectations.

The Commerce Department will release its report on Decemberfactory goods orders at 10:00 a.m. ET, likely showing a 0.5percent rise, compared with an unexpected fall in November.

The factory data comes ahead of Commerce Department'sadvance fourth-quarter gross domestic product report onThursday, which will include some of the data that wouldnormally go into the second GDP estimate.

The GDP report could have a very big impact on markets,because it will be the first and second report at the same timedue to the government shutdown and will be the first look of thequarter, said Randy Frederick, vice president of trading andderivatives for Charles Schwab. (Reporting by Shreyashi and Medha Singh in Bengaluru; Editingby Anil D'Silva) ((Shreyashi.Sanyal@thomsonreuters.com; +1 646 223 8780 ;Reuters Messaging:Shreyashi.Sanyal.thomsonreuters.com@reuters.net))


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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