Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesHot NewsMost Read NewsRecomm.Business LeadersCalendar 

US Stock Futures Slump On Growth Fears

share with twitter share with LinkedIn share with facebook
share via e-mail
0
06/04/2012 | 12:39pm CEST

By William L. Watts

FRANKFURT (MarketWatch)--U.S. stock index futures fell Monday, with another round of lackluster Chinese survey data adding to worries over global growth prospects, aggravated by last week's lackluster May U.S. nonfarm payrolls data and continued worries over the euro-zone debt crisis.

Futures on the Dow Jones Industrial Average fell 50 points to 12,053. S&P 500 Index futures declined 2.2 points to 1,271.70, while Nasdaq 100 futures lost 3 points to 2,452.

China's nonmanufacturing Purchasing Manager's Index for May fell to 55.2 on a 100-point scale in April, according to an official survey released Sunday, easing from 56.1 in April and undercutting hopes the service sector could take up some slack from slowing manufacturing activity.

U.S. stocks fell sharply Friday after May non-farm payrolls showed a much weaker-than-expected May rise of 69,000 and the unemployment rate ticked up to 8.2%.

Strategists said rising worries about global growth and continuing worries over the fate of Spain's banking sector and the potential impact of a Greek exit from the euro zone combined to keep risk appetite under wraps.

"There was also an expectation of some statement from E.U. and/or G-7 leaders over the weekend to offer reassurance to markets. As it was, there was nothing of substance, with the result that Asian equities were down over 2% today, with the fall in Chinese stocks the biggest for two months," wrote strategists at FxPro.

Asian equities played catch-up on Monday morning, sending Japanese stocks to their lowest level in more than two decades while Hong Kong shares erased year-to-date gains.

European equities traded mostly lower, with the Stoxx Europe 600 Index losing 0.3%. London markets are Monday and Tuesday for public holidays.

Central bankers will be in the spotlight this week as weak data stirs speculation of further stimulus measures. Federal Reserve Chairman Ben Bernanke testifies Thursday before the Joint Economic Committee on the economic outlook and monetary policy.

On Wednesday, the European Central Bank meets in Frankfurt, while the Bank of England concludes its monthly policy meeting on Thursday.

"In the U.S., last Friday's payrolls report was very weak [and] effectively conspired to magnify expectations of further Fed easing against the backdrop of a sharp decline in US equities," said Geoffrey Yu, currency strategist at UBS.

The U.S. economic calendar is light this week. April factory orders data is set for release at 10 a.m. EDT.

On the corporate front, shares of Groupon Inc. (GRPN) may be in the spotlight after dropping 9% to a record low on Friday as a restriction on insider selling expired.

U.S. stocks tumbled more than 2% on Friday, leaving the Dow in negative territory for the year and pulling the S&P 500 into correction territory.

The Dow fell 274.88 points Friday to finish at 12,118.57. The S&P 500 dropped 32.29 points to 1,278.04, leaving it 10% off its intraday, 52-week high and 9.9% off its 52-week closing high, which were both set on April 2. The Nasdaq Composite Index lost 79.86 points to 2,747.48.

Nymex crude-oil futures fell $1.51 to $81.72 a barrel in electronic trade. Gold futures dropped $2.90 an ounce to $1,619.20.

The ICE dollar index traded at 82.880, little changed from 82.878 in North American trade late Friday.

The euro changed hands at $1.2427, up slightly from $1.2422. The dollar fetched Y78.04, down from Y78.68 on Friday.

-By William L. Watts; 415-439-6400; [email protected]

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news
Date Title
10:36a HB GRANDI : Excellent fishing
10:36a RENAULT : Sport and Disney Celebrate Anniversaries this Sunday in Monaco
10:24a VODAFONE : Golf’s new darling, Yolanda Cuba
10:24a NATIONAL SECURITY : Daily Guide must retract and apologise or - Former NCA boss
10:22a CAIRO AMMAN BANK PSC : Competition for Children’s Paintings
10:11a MEET THE EXPERTS : Do we have a new digital testing buying persona?
10:02a NOKIAN TYRES : Virtual Reality helps lure Finland's biggest tire maker to Dayton
10:02a MINISTRY OF FOREIGN AFFAIRS OF UNITED ARAB EMI : UAE Embassy in Sudan implements iftar project.
10:01a QUICK SPIN : New BMW 530i sets new sports sedan benchmark
10:00a INTERNATIONAL BUSINESS MACHINES : IBM Sells Final Part Of Vacant Somers Property
Latest news
Advertisement
Hot News 
8.47%SPIRAX SARCO ENGINEERING : Sarco to buy thermal tech firm Chromalox for $415 million
2.28%ELECTRA PRIVATE EQUITY : Epiris to keep focus on UK assets after Electra split
-4.04%BA and Iberia plan third-party booking surcharge, Amadeus shares hit
3.25%Fosun, others eye Australia's Origin Energy gas assets worth $1.5 billion - sources
-4.92%SUN PHARMACEUTICAL INDUSTRIES : Pharma 4Q Profit Falls 13.6%
Most Read News
05/27 INTERNATIONAL CONSOLIDATED AIRLNS : British Airways outage has not canceled RDU flight to London; fliers should check status
05/27 DOHA BANK : branch announces Al Dana Millionaires
05/27 Beijing bling - Hyundai plots China branding reboot after missile row
05/27 GENERAL MOTORS : Detroit Free Press Susan Tompor column
05/27 HYUNDAI MOTOR : offers free inspection service for its cars in Kingdom
Most recommended articles
05/22 NOBLE : shares tumble after S&P ratings downgrade
05/27 Beijing bling - Hyundai plots China branding reboot after missile row
05/27 Reliance Communications hit by Indian mobile price war
05/27 GENERAL MOTORS : GM says ISS advises against Greenlight share plan, board nominees
05/27 FAIRFAX FINANCIAL : to sell 12.2 pct of Indian insurer ICICI Lombard