Market Hustle: Futures Lose Traction as UPS Slashes Outlook
NEW YORK (TheStreet) -- Stock futures were losing traction Friday, weighed down by a round of quarterly reports that came in shy of estimates. UPS (UPS) cut its guidance, and General Electric (GE) and Intel (INTC) missed expectations.
Futures for the S&P 500 were up 0.5 points, or 3.09 points below fair value, to 1,836.75, Dow Jones Industrial Average futures were up on 13 points, or 14.01 points below fair value, to 16,337, Nasdaq futures were down 0.8 points, or 9.74 points below fair value, to 3,594.5.
UPS was stumbling 3.76% to $96.71 after lowering its full-year guidance to $4.57, from the prior outlook of $4.65 to $4.85. The company expects fourth-quarter earnings of $1.25 a share, missing forecasts. UPS explained the results were being hurt by the challenges of the compressed peak season coupled with an unprecedented level of online shopping.
General Electric was losing 2.24% to $26.60 after being just shy of hitting its goal of a 70-basis-point improvement for its industrial margin of 2013.
- Intel missed Wall Street estimates, sending shares lower by more than 4.5% to $25.32 in premarket trading.
- Morgan Stanley (MS) was rising 1.09% to $32.35. The bank reported fourth quarter earnings of 7 cents per share, or 20 cents on an adjusted basis, though both figures were weighed down by legal costs.
- December housing starts rose to a seasonally adjusted annual rate of 999,000, topping estimates. Permits came in at a pace of 986,000, below expectations. Other indicators on the docket include industrial production and capacity utilization for December at 9:15 a.m., and the University of Michigan's consumer sentiment index at 9:55 a.m. Industrial production is forecast to rise 0.3%.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV