* Oil prices fall after Goldman Sachs cuts forecast
* S&P poised for biggest weekly gain since July
* Zumiez falls after cutting third-qtr forecast
* Indexes down: Dow 0.23 pct, S&P 0.27 pct, Nasdaq 0.30 pct (Updates to open)
By Tanya Agrawal
Sept 11 (Reuters) - Wall Street opened lower on Friday as jittery investors took to the sidelines ahead of a crucial U.S. Federal Reserve meeting next week, when the central bank decides on an interest rate hike.
However, the S&P 500 was poised for its biggest weekly gain since July despite the recent volatility that has rocked the global financial market.
Stocks have been volatile for the past few weeks since China devalued its currency in August and the impact of a slowdown in the region on global growth rattled investors. The S&P 500 has had moves of at least 1 percent in 11 sessions since Aug. 20.
Investors pulled another $15.9 billion from U.S. equities over the past week as they sought safety in government bond funds, Bank of America Merrill Lynch said.
At 9:43 a.m. ET (1343 GMT) the Dow Jones industrial average was down 36.94 points, or 0.23 percent, at 16,293.46, the S&P 500 was down 5.33 points, or 0.27 percent, at 1,946.96 and the Nasdaq Composite was down 14.56 points, or 0.3 percent, at 4,781.69.
All the 10 major S&P sectors were lower with the energy index’s 0.81 percent fall leading the decliners.
Oil prices fell about 2.5 percent after Goldman Sachs slashed their crude oil forecasts, citing oversupply and concerns over China’s economy. Goldman said crude oil could fall as low as $20 a barrel. Schlumberger and ConocoPhillips were down about 1 percent.
The Fed has said it will raise rates for the first time since 2006 when it sees a sustained economic recovery with special emphasis on the job market and inflation.
U.S. data on Thursday suggested the labor market was gaining momentum in early September as fewer Americans filed for weekly unemployment benefits. But a separate report showed weak inflation, further clouding the outlook for what the Fed will decide to do at its Sept. 16-17 policy meeting.
Data on Friday showed that U.S. producer prices were flat in August, pointing to benign inflation pressures.
“The market is in wait-and-see mode till the Fed meeting and till we get more news out of China,” said Adam Sarhan, chief executive of Sarhan Capital in New York.
“The market is pausing to digest the steep August selloff and I expect the sideways action to continue for a while.”
Zumiez fell 18.5 percent to $17.64 after the sports apparel and accessories maker forecast third-quarter sales and profit below analysts’ estimates.
Marvell Technology fell 17.5 percent to $8.70 and was set for its sharpest one-day drop in more than nine years after the company said it is investigating its accounting related to the recognition of certain revenues in the second quarter.
Kroger was up 3.9 percent at $36.82 after the biggest U.S. supermarket operator’s quarterly profit beat expectations.
Declining issues outnumbered advancing ones on the NYSE by 1,902 to 763. On the Nasdaq, 1,563 issues fell and 693 advanced.
The S&P 500 index showed no new 52-week highs and five new lows, while the Nasdaq recorded seven new highs and 38 new lows. (Reporting by Tanya Agrawal; Editing by Don Sebastian)