Skip to main content

Futures Hit on Citigroup, GE

Stocks are lower as uneven earnings remain the rule.

Stocks slipped Friday as traders looked askance on

Motorola's

(MOT)

fourth quarter and coped with misses at

Citigroup

(C) - Get Citigroup Inc. Report

and

General Electric

(GE) - Get General Electric Company Report

.

Index futures recently showed the

S&P 500

trading 4 points below fair value, while the Nasdaq 100 was set for an 8-point decline. The 10-year Treasury bond was unchanged in price to yield 4.37%, while the dollar rose against the euro and fell against the yen.

Overseas markets were mixed, with London's FTSE 100 recently down 0.4% to 5715 while Germany's Xetra DAX eased 0.3% to 5413. In Asia, Japanese stocks gave up early gains to finish roughly unchanged at 15,697, while Hong Kong's Hang Seng lost 0.1% to 15,692.

Oil prices continued their upward push after geopolitical tensions were raised Thursday by the Osama bin Laden audio tape. February crude was recently up 35 cents to $67.18, near a three-month high. Natural gas rose 23 cents to $9.14 per million British thermal units.

Motorola was down 5% Friday after the company said second-quarter earnings rose 88% to $1.2 billion, or 47 cents a share, while sales jumped 18% to $10.43 billion. Adjusted for gains, Motorola earned 35 cents a share in the period, beating estimates by a penny. The company affirmed first-quarter guidance.

TheStreet Recommends

Investors were troubled by management commentary indicating Motorola experienced supply constraints in its handset business toward the end of the year. "That will not be a problem" in the future, CEO Ed Zander vowed on a conference call with analysts. In premarket trading,

Nokia

(NOK) - Get Nokia Oyj Report

was down about 2% in sympathy with Motorola.

Early Friday,

Citigroup

(C) - Get Citigroup Inc. Report

said fourth-quarter earnings jumped 30% thanks to the sale of its asset-management division to

Legg Mason

(LM) - Get Legg Mason, Inc. Report

. Excluding the gain, Citi earned 98 cents a share, 2 cents shy of estimates. Domestic credit cards were a sore spot.

To view David Peltier's video take on today's premarket action, click here

.

General Electric

(GE) - Get General Electric Company Report

said fourth-quarter earnings from continuing operations were $5.77 billion, or 55 cents a share, matching estimates. Revenue rose 3% from a year ago to $40.7 billion, about $1.8 billion below forecasts.