Wall Street Poised For Higher Open On Earnings Optimism
Источник: rttnews.com 14:50 29/07/2010
U.S. stock futures point to a higher open Thursday morning after stocks retreated yesterday on concerns about the economy. Better than expected results from companies such as Sanofi and Sony might lift market sentiment. The Weekly jobless claims report as well as slew of earnings reports may offer further trading cues.
As at 6.15 a.m ET, the Dow futures were up 49.00 points, the S&P 500 futures were up 6.10 points, and the tech-heavy Nasdaq 100 futures were up 7.50 points.
On the economic front, traders await the customary weekly jobless claims report for the week ended July 23 from the Labor Department at 8.30 a.m. ET, for cues on the health of the job market. Economists project that jobless claims remain unchanged at 464,000 after unexpectedly increasing by 37,000 in the previous week. If the report shows an increase in claims, it is very likely that the positive impact of buoyant earnings may be neutralized.
Earnings continue to dominate the proceedings of the day.
Before the market opens, Avon Products (AVP), Bunge (BG), Checkpoint Systems (CKP), Colgate-Palmolive (CL), ExxonMobil (XOM), Kellogg (K), Moody’s (MCO), Motorola (MOT), Noble Energy (NBL), Northrop Grumman (NOC), and Southwest Air (LUV) are among the major companies that will report quarterly results.
Amgen (AMGN), Genworth Financial (GNW), KLA-Tencor (KLAC), McAfee (MFE), MetLife (MET), Monster Worldwide (MWW), RealNetworks (RNWK), and Sunoco (SUN) are among the major companies slated to release quarterly results after the markets close.
Earlier in the day, French pharmaceutical company Sanofi-aventis (SNY) reported a surge in profit for the second quarter in an environment affected by the U.S. healthcare reform, price cuts in Europe and continued competition from generics.
Japanese electronics giant Sony Corp. (SNE) reported a profit for the first quarter of fiscal 2011, compared to a loss last year, as it sold more televisions and personal computers in the quarter. The company also raised its fiscal year earnings outlook and maintained its revenue guidance.
German-based electronics and electrical engineering company Siemens AG (SI) reported that its third-quarter profit increased nearly 12% from last year, as revenues improved and the company saw strong order growth.
Traders might also react to reports released after the market closed in the previous session.
Credit card service provider Visa Inc. (V) said that its third-quarter profit declined 2% over last year, primarily due to lower investment income despite double-digit growth across all revenue categories. Looking ahead, the company reaffirmed its earnings outlook for fiscal years 2010 and 2011.
Semiconductors maker LSI Corp. (LSI) reported a rise in profit for the second quarter, helped primarily by higher revenues and improved margins. Quarterly earnings came in line with analysts’ estimates, while revenues fell short.
Generic drug maker Mylan, Inc. (MYL) reported a decline in second-quarter profit, despite an 8% rise in sales, on higher costs as well as litigation expenses. Adjusted earnings for the quarter came in line with Street view, while revenues surpassed expectations.
Oil Light sweet crude oil for August delivery is presently quoted at $77.19 a barrel, up $0.20 a barrel from its previous close of $76.99 a barrel in New York on Wednesday. Dollar The U.S. dollar is presently trading weaker against the yen, the euro and the pound.
World Markets Mixed trading was witnessed among the major markets open for trading on Thursday. While the markets in Australia, Japan and South Korea ended in negative territory, the markets in China, Hong Kong, India, Indonesia, Singapore, and Taiwan ended in positive territory with marginal gains as traders remained cautious awaiting more cues on global economy amid concerns about sustaining economic recovery. The markets in Europe are trading in positive territory on earnings optimism.