Futures Up After Dow's Winning Streak Ends
NEW YORK (
) - Stock futures pointed to a stronger open Tuesday a day after the
Dow Jones Industrial Average
broke six-straight sessions of gains in the wake of the
Federal Reserve's
decision to launch a second round of quantitative easing to keep the economic recovery on track.
U.S. futures were also
tracking European shares higher after
Barclays
(BCS) - Get Report
said in an interim management statement that its overall impairment charge and loan loss ratio continued to improve in the third quarter. British mobile communications company
Vodafone
(VOD) - Get Report
also issued strong results. The FTSE in London was up by 0.8% and the DAX in Frankfurt was ahead by 0.7%.
Futures for the
Dow Jones Industrial Average
were up by 27 points, or 24 points above fair value at 11,389. Futures for the
S&P 500
were 3 points higher, or 2 points above fair value at 1223 and
Nasdaq
futures were ahead by 10 points, or 8 points above fair value.
In Asia, markets saw a lower close. Hong Kong's Hang Seng fell 1% amid concerns about possible monetary policy changes to limit excess liquidity. Japan's Nikkei declined by 0.4%.
Stocks finished mostly lower Monday as the U.S. dollar strengthened and investors showed concern regarding eurozone countries' abilities to pay down debt.
At 10 a.m. EST on Tuesday, the Commerce Department is expected to report a 0.6% increase in September wholesale inventories, according to Briefing.com. That compares to 0.8% growth in August.
|
Shares of
Atlas Energy
(ATLS)
were up 35.8% at $43.07 ahead on Tuesday's opening bell on news that
Chevron
(CVX) - Get Report
agreed to buy the natural gas producer for $4.3 billion in cash and stock. Chevron's stock was down 0.1% at $84.68 during the premarket session.
General Electric
(GE) - Get Report
plans to invest more than $2 billion in China through 2012. GE's stock was up 0.5% at $16.80 in early trading.
Global professional services firm
Marsh & McLennan
(MMC) - Get Report
missed consensus estimates by a penny with adjusted earnings of 27 cents a share. Revenue rose to $2.5 million from $2.4 million, a year ago.
Alibaba
founder Jack Ma was approached by a private-equity group to see if he was interested in joining a bid to buy
Yahoo!
(YHOO)
, according to a
Reuters
report.
After the closing bell,
MBIA
(MBI) - Get Report
and
Tesla Motors
(TSLA) - Get Report
are expected to report per-share losses of 58 cents and 43 cents, respectively.
In commodity markets, gold continued its rise after breaking through $1,400 for the first time on Monday. The Fed's decision to pour money into the U.S. economy has increased inflation concerns. The December gold contract was last up by $16.60 to $1,419.80 an ounce. The December crude oil contract was adding 34 cents, to trade at $87.40 a barrel.
The dollar traded lower against a basket of currencies with the dollar index down by 0.4% and the benchmark 10-year Treasury note strengthened 2/32, diluting the yield to 2.550%.
--Written by Melinda Peer in New York
.
Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.
