This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Stock Futures Slump on Global Concerns


NEW YORK ( TheStreet) -- Stock futures were pointing lower Monday with the markets anxious over global growth prospects and the progress on fixing the European debt crisis.

Futures for the Dow Jones Industrial Average were slumping 47 points, or 49.47 points below fair value, at 13,453. Futures for the S&P 500 were falling 5.10 points, or 6.70 points below fair value, at 1447. Futures for the Nasdaq were slipping more than 8 points, or 11.04 points below fair value, at 2844.

The major U.S. equity averages finished mixed on Friday with the Dow Jones Industrial Average posting its first down week of the month.

Adam Sarhan, founder and CEO of Sarhan Capital, said the markets are "extended" right now, saying he will "let more time pass before returning to or adding to our positions."

The market mood was souring Monday amid reports that Germany and France were clashing on the timeline for introducing a banking union, while rumors were circulating that Greece's budget shortfall was a lot greater than previously expected, though the Greek Ministry of Finance refuted the reports.

The nervous atmosphere was also being fed by data showing that the German Ifo index on business confidence unexpectedly declined this month, and a CBB International report indicating that optimism among Chinese manufacturers and retailers about sales have dimmed compared with three months ago and that they were reducing headcount.

Over the weekend, a People's Bank of China official warned that the country's slowing economy could extend into next year.

The FTSE in London was down 0.54% and the DAX in Germany was falling 0.62%. Hong Kong's Hang Seng index finished down by 0.19% on Monday and the Nikkei in Japan settled behind by 0.45%.

The benchmark 10-year Treasury was rising 10/32, pushing the yield down to 1.722%. The greenback was up 0.45%, according to the dollar index.

November crude oil futures were losing $1.33 to $91.56 a barrel. December gold futures were dropping $18.50 at $1,759.50.

In corporate news, Lennar (LEN - Get Report), the homebuilder, posted fiscal third-quarter earnings of 40 cents a share. Revenue in the quarter rose 34% to $1.1 billion. Shares were popping nearly 4% in premarket trading.

Software company Red Hat (RHT - Get Report) is expected to report fiscal second-quarter earnings of 21 cents a share on revenue of $322.1 million.

Red Hat is expected to issue its earnings after Monday's closing bell.

Shares were adding more than 2%.

Redbox, a unit of Coinstar (CSTR) and Verizon (VZ) plan to offer subscription streaming, movie sales and rentals by Christmas, along with DVDs from the local kiosk, Bloomberg reported..

The venture, 65%-owned by Verizon, will challenge Netflix (NFLX) and Amazon.com (AMZN) for consumers who watch movies online and on mobile devices.

Coinstar shares were up more than 1%.

Yahoo! (YHOO) CEO Marissa Mayer is expected Tuesday to unveil her strategy for the struggling Internet giant.

Mayer shared her vision for Yahoo! with the board on Friday. She called the Tuesday meeting, in an internal memo to employees, "an act of radical transparency that will be a tradition moving forward," according to All Things Digital.

Yahoo shares were up fractionally.




--Written by Andrea Tse in New York.



>To contact the writer of this article, click here: Andrea Tse.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
LEN $48.53 0.25%
RHT $78.81 -0.03%
AAPL $132.54 0.88%
FB $80.54 0.07%
GOOG $540.11 -0.44%

Markets

DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASDAQ 5,089.3620 -1.4320 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs