Preopen Trading: Yesterday's Drop Has Market Poised to Bounce
Seeing as how Thursday's selloff puts the
Nasdaq Composite Index at about half its March value, the market's looking to bounce this morning. The
S&P 500 futures were lately traded at 1329.10, up 7.6 points, and nearly 12 points above fair value, indicating a decent open for the broad market. The
Nasdaq 100
futures were lately traded at 2615, up 85 points, which is actually only 5 points above fair value, which on the Nasdaq indicates only a slightly positive open.
Reports that
Quaker Oats
(OAT)
was back in talks to be acquired by
PepsiCo
(PEP) - Get PepsiCo, Inc. Report
had that stock running this morning.
The Wall Street Journal
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reported Pepsi and Quaker were close to signing a deal that would have the beverage company take over the cereal maker for $14.3 billion in stock. Lately Quaker was traded at $92.50 on
Instinet
, up from $86.94 yesterday, while Pepsi was traded at $44.50, down from $45.38, according to a spokeswoman at Instinet.
Big-cap technology stocks were rebounding in preopen action, indicating some buying interest.
Cisco
(CSCO) - Get Cisco Systems, Inc. Report
was lately traded at $50.38, up from yesterday's close at $47.88, according to Instinet.
JDS Uniphase
(JDSU)
was quoted at $53 a share on Instinet, up from yesterday's $50.06 close.
Semiconductor maker
Intel
(INTC) - Get Intel Corporation Report
, which fell under the carnage that was the semiconductor sector yesterday, was lately quoted at $39, after the close yesterday of $38.06.
For Thursday's postclose trading, see The Night Watch.
