Stock futures are trading defensively this morning as the
December jobs report, jitters before this week's retail sales and
manufacturing data, as well as concerns surrounding fourth quarter
earnings dampens demand for U.S. equities versus their foreign
counterparts. Market players are uneasy with the lackluster
forecast for December sales, and that industrial production will
show that the manufacturing sector is staring to lose steam.
In addition, according to a report from Thomson Reuters Q4
earnings are expected to increase 7.3% from the same period last
year, but the ratio of negative to positive guidance is at 9.8%,
the largest on record. Already Lululemon (
) and Sodastream (
) have issued earnings warnings this morning, dragging both stocks
deep into negative territory.
Fortunately, today's early pressure on the stock market is
mitigated by falling energy prices and lower Treasury yields, the
latter of which have fallen 20 basis points from their highs last
week thanks to the expectation that the bearish jobs report has
pushed back a rate hike by the Federal Reserve to the fourth
quarter of 2015.
In Europe, equity prices are marginally higher, led by banking
stocks after regulators eased a Basel leverage-ratio rule. Although
EU-zone economic data was very light, Italy posted a much better
than expected gain in industrial production, bumping up the DAX by
nearly 0.30% overnight.
The only economic data for today is the December Treasury
budget, predicted to increase from a deficit of $135.2 billion to a
$44.0 billion surplus.
-Dow Jones Industrial down 0.10
-S&P 500 futures down 0.
-Nasdaq 100 futures down 0.15%
Hang Seng up 0.45%
Shanghai Composite down 0.19%
FTSE-100 up 0.19%
DAX-30 up 0.23%
PRE-MARKET SECTOR WATCH
(+/-) Large cap tech: mixed
(+) Chip stocks: higher
(-) Software stocks: lower
(-) Hardware stocks: lower
(-) Internet stocks: lower
(+) Drug stocks: higher
(+) Financial stocks: higher
(+/-) Retail stocks: mixed
(-) Industrial stocks: lower
(+) Airlines: higher
(+) Autos higher
TKMR, TKM.TO, MON (+29.04%) Tekmira signed an Option Agreement
with Monsanto (
), pursuant to which Monsanto may obtain a license to use Tekmira's
proprietary delivery technology.
SPEX (+5.45%) Entered into a second settlement and license
agreement under the CompuFill patents acquired in September
BEAM (+25.37) To be acquired by Japan's Suntory for $16
GALT (-10.13%) Patient enrollment in the first cohort of a Phase
1 trial of GR-MD-02 is now complete.
ICPT (-25.98%) The company said tests has shown that there was a
build-up of "bad cholesterol" from its drug to treat nonalcoholic
steatohepatitis, or NASH, to patients.
SODA (-16.42%) Lowered its fiscal year 2013 guidance
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