The rise would be a turnaround from Tuesday's more than 1.5-percent slide, the fifth day of losses running and the S&P 500's worst performance since early December.

Europe's main markets .FTEU3 stabilized after an initial fall on Wednesday, but remained shaky. The Nikkei .N225 fell 0.8 percent overnight.

The U.S. Mortgage Bankers Association's index of mortgage application activity is released for the week ended April 6 at 07:00 EDT (11:00 GMT). In the previous week, the index read 695.7 and the refinancing index was 3,576.8.

At 8:30 EDT (1230 GMT), the Labor Department releases import-export prices for March. Economists forecast a 0.8 percent rise in import prices and a 0.4 percent increase in exports prices. In February, both import and export prices were up 0.4 percent.

The Federal Reserve releases the Beige Book of regional economic conditions at 14:00 EDT (1800 GMT).

Aluminum producer Alcoa Inc (AA.N) surprised Wall Street with a first-quarter profit after a loss in the fourth quarter of 2011 as global markets improved, especially in the aerospace and automobile sectors.

Reebok International Ltd agreed to settle a lawsuit by rival Nike Inc (NKE.N), and will stop selling New York Jets football apparel with the name of the team's popular new quarterback, Tim Tebow.

The Treasury Department issues its monthly budget for March at 14:00 (1800 GMT). Economists forecast a $196.0 billion deficit, compared with a February budget deficit of $232.0 billion.

The Dow Jones industrial average .DJI lost 213.66 points, or 1.65 percent, to 12,715.93 at the close on Tuesday. The Standard & Poor's 500 Index .SPX dropped 23.61 points, or 1.71 percent, to 1,358.59. The Nasdaq Composite Index .IXIC tumbled 55.86 points, or 1.83 percent, to 2,991.22.

(Reporting by Atul Prakash; editing by Patrick Graham)

• A Permanent Economic Emergency