Stocks are set to decline for the fifth straight day today as
Congress fails to strike a budget deal.
In a replay of summer 2011, fears of another government shutdown
are high. Yesterday, as Senators prepared a stopgap measure to keep
the government operating for another few months, Republican Senator
Ted Cruz of Texas spoke from the afternoon into the night, even
reading Dr. Seuss'
Green Eggs and Ham
to protest any government funding bill that includes a dime for the
Affordable Care Act.
Treasury Secretary Jack Lew said yesterday that investors are more
confident than they should be about a government shutdown. The two
parties have until next week to hammer out a deal.
Before the opening bell,
(INDEXDJX:.DJI) futures were off 0.10% at 15,271 while futures
contracts on the
(INDEXSP:.INX) sank 0.15% to 1,689.90.
(INDEXNASDAQ:.IXIC) futures fell 0.09% to 3,210.50.
This morning, the government reported that durable goods orders in
August were better than expected. New orders increased by 0.1%
after plunging 8.1% in July. Economists expected a 0.5% drop.
Excluding transportation, orders fell 0.1%. Later today, new home
sales in August are projected to rebound to an annualized rate of
425,000 after plunging the most in three years to 394,000 in July.
) dropped 4.2.% in pre-market trading after the company said that
fourth-quarter results could range from a loss of $0.03 to a $0.03
profit, missing estimates of a $0.09 profit. Carnival, still
working to improve after February's disastrous fire aboard a
cruise, was downgraded by
) to underweight from equal weight. Carnival's earnings warning
also took down competitor
Royal Caribbean Crusies
), which lost 1.14% this morning.
) could see heavy trading since it announced new versions of the
Kindle Fire tablet computer. In the pre-market, shares are up
Bill Gates ruled out returning to his role as CEO of
). The founder maintains that he wishes to continue his charity
Bed Bath & Beyond
(BBBY) is due to report earnings today after the bell. The
home-products retailer's profits and revenue are projected to rise
along with the housing market. Analysts expect earnings of $1.15
per share on $2.81 billion in revenue.