Here are 10 things you should know for Thursday, Jan. 30:
1.-- U.S. stock futures were pointing higher on Thursday after the Federal Reserve reduced monetary stimulus for the U.S. economy and after Facebook (FB) posted earnings that beat Wall Street estimates and the shares jumped in premarket trading.
European stocks were declining in early trading Thursday. Asian shares ended the session with losses. Japan's Nikkei 225 index fell 2.5%.
2.-- The economic calendar in the U.S. Thursday includes weekly initial jobless claims at 8:30 a.m. EST, the advanced estimate of fourth-quarter gross domestic product at 8:30 a.m., and pending-home sales for December at 10 a.m.
3.-- U.S. stocks on Wednesday tumbled after the Federal Reserve said it will reduce its bond-buying by $10 billion, bringing down the size of the economic stimulus program to $65 billion. The decision was unanimous among central bank policymakers.
The S&P 500 fell 1.02% to 1,774.20, the Dow Jones Industrial Average declined 1.19% to 15,738.85, and the Nasdaq slipped 1.14% to 4,051.43.
Google CEO Larry Page confirmed the deal in a posting on the company's corporate blog, describing the sale as "an important move" for Android users.
Page said that Google acquired Motorola in 2012 to "help supercharge the Android ecosystem by creating a stronger patent portfolio for Google and great smartphones for users." Nonetheless, the CEO acknowledged the "super competitive" smartphone market, adding that it "helps to be all-in when it comes to making mobile devices."
"It's why we believe that Motorola will be better served by Lenovo, which has a rapidly growing smartphone business and is the largest (and fastest-growing) PC manufacturer in the world," he added. "This move will enable Google to devote our energy to driving innovation across the Android ecosystem, for the benefit of smartphone users everywhere."
The deal represents a massive write-down for Google, less than two years after it spent $12.5 billion on Motorola Mobility.
In his blog posting, Page said that Google will retain the vast majority of Motorola's patents, which it will "continue to use to defend the entire Android ecosystem."
Google is scheduled to report fourth-quarter earnings after Thursday's closing bell.
Google shares rose 2.5% in premarket trading to $1,135.
The stock rose 17.8% to $63.06 in early trading.
The Menlo Park, Calif.-based company earned 31 cents a share on revenue of $2.59 billion, as advertising revenue jumped 76% from a year earlier to $2.34 billion. Facebook's mobile ad revenue accounted for 53% of advertising revenue, and revenue from other segments, including payments, was $241 million. Europe continued to be a huge area of expansion for Facebook, as revenue rose to $727 million in the fourth quarter from $538 million in the third quarter, an sequential increase of 25%.
Analysts were looking for earnings of 27 cents a share on revenue of $2.33 billion.
Facebook ended the quarter with 1.23 billion monthly active users (MAUs), with more than 757 million daily active users (DAUs), up 22% year over year. Mobile continues to be a big driver for the company, and the company ended the quarter with 945 million MAUs, including 556 million DAUs, up 49% from a year earlier.
6.-- Exxon Mobil (XOM) reported said fourth-quarter earnings declined 16%.
The company posted earnings of $8.35 billion, or $1.91 a share, compared with $9.95 billion, or $2.20 a share, a year earlier.
Exxon was expected by Wall Street to report fourth-quarter earnings of $1.92 a share on revenue of $114.5 billion.
Production in the quarter fell 1.8% from a year earlier.
Shares fell 0.7% in premarket trading.
7.-- Royal Dutch Shell's (RDS.A) new CEO Ben van Beurden unveiled plans Thursday to slash capital spending and stop drilling for oil in the Arctic Circle as the company reported a sharp drop in fourth-quarter earnings.
The CEO said the approach, which involves reducing capital spending by $10 billion this year and selling assets, will make the company more efficient now that its future growth prospects are more secure.
Van Beurden said Shell, Europe's largest oil company, won't drill for oil off Alaska's coast in 2014 following a court ruling that put "significant obstacles" in the way of exploiting resources in the Arctic.
8.-- Amazon.com (AMZN), the online retailer, is expected by analysts after Thursday to post fourth-quarter earnings of 66 cents a share on sales of $26.06 billion.
The company earned 21 cents a share in the year-earlier fourth quarter on revenue of $21.27 billion.
In one scenario, Amazon would give merchants Kindle tablets and credit-card readers, people briefed on the company's plans told the Journal. Amazon also might offer retailers other services, such as Web site development and data analysis.
The stock rose 2.1% in premarket trading to $392.39.
9.-- Shipping giant United Parcel Service (UPS) reported fourth-quarter earnings of $1.2 billion, or $1.25 a share, compared with a year-earlier loss of $1.7 billion, or $1.83 a share.
Earlier this month, UPS had revised its earnings estimates lower because of increased costs from holiday shopping.
Analysts forecast fourth-quarter profit of $1.25 a share on revenue of $15.17 billion.
The stock rose 0.7% in premarket trading to $96.
10.-- Deutsche Bank (DB) suspended the head of its emerging markets foreign exchange trading desk in New York in connection with ongoing investigations into the alleged manipulation of the global currency market, a source familiar with the matter told Reuters.
Diego Moraiz, who has been with the bank since 2004 and has specialized in trading the Mexican peso, was told by the bank on Dec. 18 that he was suspended, the source said.
Moraiz's suspension came after an external consulting firm hired by Deutsche Bank examined emails and communications in chatrooms going back seven years, the source told Reuters. The specific reason for the suspension is unclear, according to Reuters.
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