Stocks to open lower, ending flat week
Investors are bracing for income and spending data that are expected to show slight gains.
By Elizabeth Trotta, TheStreet.com
Premarket futures suggest a lower open for stocks in New York ahead of the latest data on personal income and spending, and the University of Michigan’s final reading on consumer sentiment for June.
Futures for the S&P 500 were down 2.5 points at 914.1, and were 2.06 points below fair value. Futures on the Nasdaq were falling 4.25 points to 1468.75, and were 5.9 points below fair value.
The major indices put in their largest gains of the week on Thursday, offsetting steep losses from Monday and bringing them near neutral for the week. Ahead of Friday’s open, the Dow is down 0.8% and the S&P 500 is off by 0.1%, while the Nasdaq is up 0.1% for the week.
At 8:30 a.m. EDT, the Department of Commerce is expected to report a 0.3% increase in both personal income and spending for the month of May. Market watchers will also have their eye on the final University of Michigan consumer sentiment index reading for June, due out at 9:55 am EDT. A preliminary report earlier in the month showed that sentiment increased slightly to 69 from 68.7 in May.
In Friday’s headlines, Qantas Airways canceled orders for 15 Boeing 787s, or Dreamliners, and delayed the delivery of 15 additional aircraft due to turbulent market conditions. Qantas said the decision was unrelated to news earlier this week that Boeing had further delayed the aircraft’s first flight.
Also, troubled bank Citigroup has rubbed Japanese regulatory authorities the wrong way, the Wall Street Journal reported. For the second time in the last decade, the bank has been ordered to suspend sales activities at its retail businesses – from July 15 to August 14 – as it faces accusations of not doing enough to prevent money laundering.
In other bank news, Swiss bank UBS expects to report a second-quarter loss, albeit narrower than its first-quarter loss, and will raise about 3.8 billion Swiss francs, or roughly $3.49 billion, in a stock sale.
Meanwhile, crude oil futures were rising 83 cents to $71.06 after militants said they attacked a Royal Dutch Shell wellhead in Nigeria, raising concerns about supply.
The dollar weakened after China’s central bank called again for a “super-sovereign reserve currency,” and suggested the International Monetary Fund manage part of members’ foreign reserves.
Stocks overseas were mostly higher. In Europe, London’s FTSE 100 and the Dax in Frankfurt were rising 0.2% and 0.3%, respectively. In Asia, the Nikkei in Japan added 0.8%, and the Hang Seng in Hong Kong closed 1.8% higher.
Longer-dated treasuries were mixed. The 10-year was losing 2/32 to yield 3.55%, while the 30-year added 2/32, yielding 4.33%.
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
[BRIEFING.COM] S&P futures vs fair value: +5.70. Nasdaq futures vs fair value: +14.00. U.S. equity futures hover near their highs amid subdued action overseas. The S&P 500 futures trade six points above fair value. The benchmark index will enter the final session of the month with an August gain of 3.4%. Meanwhile, nine of ten economic sectors are on course to finish the month higher, while the smallest sector by weight-telecom services-will enter the session with an August decline ... More
More Market News
|There’s a problem getting this information right now. Please try again later.|
VIDEO ON MSN MONEY
MUST-SEE ON MSN
- Video: Easy DIY smoked meats at home
A charcuterie master shares his process for cold-smoking meat at home.
- Jetpacks about to go mainstream
- Weird things covered by home insurance
- Bing: 70 percent of adults report 'digital eye strain'