11th Mar 2015 10:35
WASHINGTON (Alliance News) - Trading in the US index futures suggests that Wall Street stocks may open Wednesday's session higher on a day light on the economic calendar. Global cues are mixed, with Asian stocks ending mixed, while the European markets are also seen bouncing back from their losses. Economic data released from China and the UK reflected a slowdown in the momentum of global economic activity. With little catalysts to drive trading, even an upward movement could only signal consolidation for the major averages that have dipped to a month's low.
As of 6:15 am ET, the Dow futures are climbing 65 points, the S&P 500 futures are up 10 points and the Nasdaq Composite futures are advancing 15.25 points.
US stocks reversed course on Tuesday, declining notably in reaction to Chinese inflation data and the re-ignition of Greek worries, which served to send the dollar higher.
On the economic front, the Energy Information Administration is scheduled to release its petroleum status report for the week ended March 6th at 10:30 am ET. The Treasury is set to announce the results of its auction of 10-year notes at 1 pm ET.
The Treasury will also release its monthly budgetary statement for February at 2 pm ET. Economists expect the budgetary balance to show a deficit of USD188 billion compared to a deficit of USD17.5 billion in January.
In corporate news, VeriFone (PAY) reported better than expected first quarter results but issued weak guidance for the second quarter and lowered its 2015 guidance.
Google (GOOGL) announced that its CFO Patrick Pichette has announced his intention to retire after remaining seven years at the helm.
Weibo (WB) reported in line fourth quarter adjusted earnings and better than expected revenues. The company's first quarter revenue guidance was in line. Chinese online media company SINA (SINA) reported better than expected fourth quarter results and issued lukewarm revenue guidance for the full year.
NCS Building Systems (NCS) reported better than expected first quarter earnings, while its revenues missed estimates.
FuelCell (FCEL) reported in line bottom line results for its first quarter, while its revenues missed expectations.
General Mills (GIS) announced a 7% increase in its quarterly dividend to 44 cents per share.
The Asian markets closed mixed, with the Japanese and Chinese markets advancing. Meanwhile, the rest of the markets retreated, dragged lower by the negative close on Wall Street overnight. Some soft data released out of China also did not help matters further.
After seeing nervousness in early trading, Japan's Nikkei 225 average recovered and moved decisively higher in late morning trading. Thereafter, the average hovered in positive territory before closing up 58.41 points or 0.31% at 18,724
China's Shanghai Composite Index closed 4.83 points or 0.15% higher at 3,291, while Hong Kong's Hang Seng Index lost 179.01 points or 0.75% before closing at 23,718. Australia's All Ordinaries languished below the unchanged line throughout the session, ending down 31 points or 0.54% at 5,763.
On the economic front, data released by the Cabinet Office of Japan showed that core machinery orders fell 1.7% month-over-month in January, a smaller drop than the 4% decline expected by economists.
A report released by the Australian Bureau of Statistics showed that total new home loans fell 3.5% month-over-month in January, steeper than the 2% drop expected by economists.
China's industrial production and retail sales growth slowed more-than-expected at the start of the year, reflecting moderation in growth momentum, according to data released by the Chinese National Bureau of Statistics.
Industrial production increased 6.8% year-over-year in the January to February period, the National Bureau of Statistics said. The annual growth was forecast to slow to 7.7% from 7.9%. Meanwhile, retail sales grew at a pace of 10.7%, slower than the 11.9% rise seen in December and the 11.6% increased by economists. Fixed asset investment increased 13.9%, slower than an expected growth of 15%.
European stocks opened higher and advanced notably in early trading, as traders pick up bargains notwithstanding the release of mixed corporate news and lackluster domestic economic data.
In corporate news, in a follow up to the cost and efficiency program announced last November, Ericsson (ERIC) said it will eliminate 2,200 positions in Sweden. Germany's MAN reversed a profit in 2014 despite revenues declining year-over-year. Utility E.ON reported a steep loss for its full year 2014 and said it sees lower EBITDA for 2015.
On the economic front, the Office for National Statistics reported that industrial output slid 0.1% month-over-month in January, following a 0.2% drop in December. Economists had forecast a 0.2% increase for January. Manufacturing output declined 0.5%, confounding expectations for a 0.2% rise
Copyright RTT News/dpa-AFX