Stock Futures Point to Higher U.S. Open
Premarket futures were forecasting a higher open for stocks on Wall Street Tuesday as traders remained optimistic after the government seized
Fannie Mae
( FNM) and
Freddie Mac
( FRE) over the weekend.
Futures for the
were up 3.6 points at 1271 and were 2.8 points above fair value.
Nasdaq
futures were higher by 9.3 points at 1770 and were 6 points ahead of fair value.
On Monday, the major indices finished with solid gains following the government takeover of Fannie and Freddie. The two companies have been at the epicenter of the housing and credit crises, and questions about their solvency had contributed to worries about the entire financial-services industry.
After the market close Monday, a
regulatory filing showed Michael Dell
, CEO of PC maker
Dell
(DELL)
, bought $100 million in the company's stock last week.
Ahead of trading Tuesday, mining company
Sasol
(SSL)
reported full-year profit rose 32% from a year ago. The company also said it expects continued growth in the year ahead.
Meanwhile, Marius Kloppers, CEO of fellow miner
BHP Billiton
(BHP)
, said that slowing global demand for commodities will bring shareholders of
Rio Tinto
( RTP) to support BHP's hostile bid for the company.
As for economic data, a read on July pending home sales, as well as the Census Bureau's look at wholesale inventories, are expected to be released Monday morning.
Looking at commodities, the price of crude oil was down $1.34 to $105. Gold was gaining $3.30 to $805.80.
Longer-dated U.S. Treasury securities were falling in price. The 10-year was down 11/32 to yield 3.72%, and the 30-year was falling 10/32, yielding 4.28%.
Overseas, European indices, such as London's FTSE and Frankfurt's Dax, were trading higher. In Asia, the Nikkei in Japan and the Hang Seng in Hong Kong lost ground.
