Member access

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesHot NewsMost Read NewsRecomm.Business LeadersVideosCalendar 

U.S. Stock Futures Down Ahead of Jobless Claims, Home-Sales Data

02/21/2013 | 08:28am US/Eastern

--Stock futures decline as weak euro-zone data, overseas weakness weigh

--Europe, Asia broadly lower on weak purchasing managers data

--Worries that the Fed might slow asset purchases also weigh on markets

--Weekly jobless claims, existing home sales, leading economic indicators on tap

 
   By Tomi Kilgore 
 

NEW YORK--U.S. stock futures declined Thursday, extending the sharp losses seen in previous session and in overseas markets, with weak euro-zone data weighing further on sentiment ahead of U.S. jobless claims and home-sales data.

About 90 minutes ahead of the open, Dow Jones Industrial Average futures slipped 23 points, or 0.2%, to 13866. On Wednesday, the Dow fell 108 points, or 0.8%, the second-biggest point and percentage decline of the year, after the Federal Reserve hinted it may end its stimulative asset-purchase program sooner than expected.

Standard & Poor's 500-stock index futures gave up three points, or 0.2%, to 1504 and Nasdaq 100 futures lost 10 points, or 0.4%, to 2727.

Changes in stock futures don't always accurately predict stock moves after the opening bell.

Initial claims for jobless benefits in the latest week, due out at 8:30 am. EST, are expected to rise slightly to 350,000 from the previous week's 341,000. At the same time, the consumer price index for January is seen increasing by 0.1% on the month, or by 0.2% excluding food and energy.

At 10 a.m., existing-home sales for January are expected to decline 1% to a seasonally adjusted annualized rate of 4.89 million; the Philadelphia Federal Reserve's February index of business activity is seen rising to +3.0 from January's -5.8; and the Conference Board's Leading Economic Index for January is forecast to gain 0.3%.

In corporate news, shares of Wal-Mart gained 0.4% in premarket trading after the blue-chip discount retailer reported fiscal fourth-quarter earnings that topped analyst estimates, helping to offset a first-quarter earnings outlook that was below current analyst projections.

Among other Dow components, Hewlett-Packard declined 0.4%. The technology company reports fiscal first-quarter results after the closing bell.

European markets were broadly lower, with the Stoxx Europe 600 down 1.3%, on the back of disappointing euro-zone data and worries that the Fed may soon start winding down its asset purchases. Markit's preliminary composite purchasing-managers' index for the euro zone fell to 47.3 in February from January's 48.6, and below expectations of 48.5. Readings below 50 indicate contraction. Within the euro zone, Italy's FTSE MIB skidded 2.7% to a two-month low and Germany's DAX slid 1.9%.

The weak data sent the euro down to a six-week low against the dollar. Meanwhile, the dollar lost ground against the yen.

Asian markets also suffered steep declines, highlighted by a 3% tumble in China's Shanghai Composite to a one-month low, the biggest percentage decline seen since November 2011. Exacerbating worries about the Fed easing up on its stimulus program, China's State Council said on Wednesday that it would continue with market controls to curb increases in property prices.

Japan's Nikkei Stock Average shed 1.4% and Australia's S&P ASX 200 dropped 2.3%.

Front-month February gold futures slipped 0.3% to a seven-month low of $1,572.50 an ounce, putting them on an early track to suffer a sixth-straight loss. April crude-oil futures lost 1.2% to $94.08 a barrel.

In other corporate news, Tesla Motors shed 7.8% after the electric-car maker reported a wider-than-anticipated fourth-quarter loss and revenue that rose less than expected, as gross margin narrowed sharply. However, it said it expected to report a slight profit for the current quarter versus expectations of a slight loss.

VeriFone Systems tumbled 35% after the electronic-payments company indicated that fiscal first-quarter earnings and revenue would fall well short of expectations, citing weak economic conditions in Europe and delayed projects from several major customers. It also provided a downbeat outlook for the current quarter.

Pegasystems surged 21% after the business process-management company reported much better-than-expected fourth-quarter earnings and revenue, and provided a 2013 outlook that was above current projections.

Hormel Foods reported fiscal first-quarter earnings and revenue that were inline with analyst estimates and raised its full-year earnings outlook slightly to reflect the benefit of buying the Skippy peanut-butter business last month. The packaged-food company's stock was still inactive in the premarket.

Crocs declined 3.5%; the shoe maker reported fourth-quarter earnings that beat expectations but provided a current-quarter earnings outlook that was below forecasts.

Write to Tomi Kilgore at tomi.kilgore@dowjones.com.

Latest news
Date Title
<1m ago New Squamous Cell Carcinoma Study Findings Reported from Royal Infirmary Edinburgh NHS Trust (An evaluation of the Qiagen HPV sign for the detection...
<1m ago "Treatment Agent And/Or Prophylactic Agent for Side Effects of Cancer Drugs" in Patent Application Approval Process
<1m ago MOLECULAR MEDICINE : Researchers from University of Athens Report New Studies and Findings in the Area of Molecular Medicine (Biologic Treatment of Mild and Moderate...
1m ago Research Data from Genentech, Inc. Update Understanding of Clinical Trials and Studies (Genetic variability of VEGF pathway genes in six randomized...
2m ago Fitch Affirms Presence Health's (IL) Revs at 'BBB+'; Outlook Stable
2m ago ENDEAVOUR : Obtains Interim Stock and Claims Order for Trading Requirements
2m ago AZABACHE ENERGY : Announces Appointment of A New Geological Advisor
2m ago DEPARTMENT OF FINANCE AUSTRALIAN GOVERNMENT : Initiatives to Help Address Insurance Affordability for North Queensland
2m ago OTC MARKETS : Welcomes OrganiGram Holdings to OTCQB
2m ago BOART LONGYEAR : Dial in Details for Boart Longyear Recapitalisation Investor Call
Latest news
Advertisement
Hot News 
BOULDER BRANDS : Announces Preliminary Third Quarter 2014 Results
TUPPERWARE BRANDS : Reports Third Quarter Results
WILLBROS : Elects John T. McNabb, II Chief Executive Officer
CLICKSOFTWARE TECHNOLOGIES : Appoints New CFO
ALTISOURCE PORTFOLIO SOLUTIONS : INVESTOR ALERT: Glancy Binkow & Goldberg LLP Reminds Investors of the Lead Plaintiff Deadline in the Class Action Lawsuit Against Altisource Portfolio Solutions S.A.
Most Read News
7m ago AT&T revenue lower than expected as customers bring in their own phones
17m ago TERADYNE : beats Street 3Q forecasts
20m ago TESORO LOGISTICS : Announces Pricing of $1.3 Billion of Senior Notes
20m ago EXELON : ICC Approves ComEd’s Grand Prairie Gateway Project
22m ago GARRISON CAPITAL : Schedules Earnings Release for the Third Quarter Ended September 30, 2014
Most recommended articles
2m ago P&G shuffles management, focuses on streamlining co
7m ago AT&T revenue lower than expected as customers bring in their own phones
27m ago Analysis- Fresh turbulence tests post-crisis financial markets
41m agoDJLOW INFLATION, FLATTER COLA : Social Security Benefits to Get 1.7% Bump
44m agoDJStocks' Recent Rally May Not Last
Dynamic quotes  
ON
| OFF