This Day On The Street
Continue to site
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 Pare Declines Ahead of Economic Data Reports

NEW YORK ( TheStreet) -- Stock futures were paring losses as investors awaited consumer confidence and industrial production numbers Friday, and positioned themselves for the Federal Reserve's policy announcement next Wednesday.

"At the FOMC meeting next week, the Fed is expected to maintain its accommodative policy stance, with only slight upgrades to the economic assessment provided in the statement," noted Millan Mulraine, director of U.S. rates research at TD Securities USA LLC in New York. "However, the overriding theme emerging from the accompanying economic projections and Bernanke press conference will be that the Committee believes that the outlook for growth and the labor market is improving sufficiently to justify consideration of a slowing in the pace of policy accommodation later this year."

Futures for the S&P 500 were falling 1.5 points, or 0.84 points above fair value, to 1,629.5.

News Corp. (NWSA - Get Report) was slipping nearly 1% to $31.37. The media giant announced late Thursday that its Chief Financial Officer David DeVoe will retire at the end of the fiscal year on June 30, and that deputy CFO John Nallen will be replacing him.

Separately, Rupert Murdoch, CEO of News Corp., filed for divorce from Wendi Deng Murdoch, his wife of 14 years, citing a breakdown in the relationship. The divorce filing isn't likely to alter the Murdoch family's control of the media conglomerate, according to reports.

Restoration Hardware (RH - Get Report) was surging more than 11% to $65.57 after the home-furnishing company hiked its current quarter outlook after posting first-quarter earnings that beat expectations by two cents at 6 cents a share. Revenue also topped estimates as same-store sales soared by 41% in the first quarter.

GameStop (GME - Get Report) was gaining nearly 2% to $38.22 after the video game retailer was raised to "outperform" from "perform" by Oppenheimer analysts, who wrote that the PlayStation 4 and the Xbox One launches will help revive the company's earnings and revenue.

Futures for the Dow Jones Industrial Average were falling 14 points, or 11.92 points above fair value, to 15,103. Futures for the Nasdaq were off 0.25 points, or 2.1 points above fair value, to 2,956.75.

Major U.S. stock markets jumped Thursday on better-than-expected consumer spending and labor market reports which offset concern the Federal Reserve may curb its monetary stimulus program.

The Federal Reserve at 9:15 a.m. is expected to report that industrial production rose 0.2% in May after falling 0.5% in April, and that capacity utilization rose to 77.9% last month from 77.8% in April.

The University of Michigan Consumer Sentiment report, out at 9:55 a.m., is expected to come in at 84.5 for June, the same as the prior month.

The Bureau of Labor Statistics reported early Friday that the producer price index gained by a greater than expected 0.5% in May after falling 0.7% in April. Economists, on average, expected the PPI to increase 0.1%. The core PPI held steady at 0.1%, as expected.

The U.S. Commerce Department's Bureau of Economic Analysis reported that the U.S. current account deficit narrowed by more than expected to $106.1 billion in the first quarter, down from $110.4 billion in the fourth quarter. On average, economists had expected the current account deficit to come in at $109.7 billion.

The FTSE 100 in London was rising 0.21% while the DAX in Germany was gaining 0.29% on Friday. The Nikkei 225 in Japan finished up 1.94% after the prior session's plunge as Thursday's upbeat U.S. data helped the assuage concerns over whether the U.S. can stand on its own with less Fed stimulus. The Hong Kong Hang Seng rose 0.39%.

The benchmark 10-year Treasury was rising 8/32, diluting the yield to 2.123%. The dollar was up 0.19% to $80.90 according to the U.S. dollar index .

August gold futures were up 10 cents to $1,377.90 an ounce. July oil futures were up 24 cents to $96.93 a barrel.

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
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
GME $26.98 0.00%
NWSA $10.75 0.00%
RH $47.22 0.00%
AAPL $93.99 0.00%
FB $102.01 0.00%


Chart of I:DJI
DOW 15,973.84 +313.66 2.00%
S&P 500 1,864.78 +35.70 1.95%
NASDAQ 4,337.5120 +70.6750 1.66%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs