Futures Indicate U.S. Stocks to Open Lower

Premarket futures were hinting at a lower open for stocks on Wall Street Tuesday, as financial firms altered their business practices to accommodate strains on both the consumer and the credit markets.

Futures for the S&P 500 were down 8.3 points at 913 and were 4.6 points below fair value. Nasdaq futures were lower by 17 points at 1240 and were 12 short of fair value.

On Monday, stocks surrendered early gains to close on the downside after enthusiasm for an economic stimulus package from China waned and concerns about the U.S. economy took hold.

Financial firms were adjusting their businesses to account for the credit crunch and economic slowdown. Citigroup (C Quote) announced that it would adjust terms for mortgages to avoid foreclosure proceedings on as much as $20 billion in at-risk mortgages. Last Friday, JPMorgan Chase (JPM Quote) announced a similar mortgage-refinance program, covering $110 billion in loans.

Meanwhile, credit card company American Express (AXP Quote) got the go-ahead from the Federal Reserve to turn itself into a bank holding company. Such a move would allow American Express to build a deposit base and secure Fed funding. Goldman Sachs (GS Quote) and Morgan Stanley (MS Quote) had earlier this year successfully petitioned the Fed for bank holding company status.

In the energy patch, Chesapeake Energy (CHK Quote) and StatoilHydro (STO Quote) announced a joint venture to seek additional natural gas resources.

As for earnings, following Monday's close, coffee purveyor Starbucks (SBUX Quote) reported a decline in profit and fell short of analysts' estimates. The company also said it would not provide earnings guidance for the upcoming year.