Stocks are showing a lack of direction in early trading on Friday after ending the previous session sharply higher. The major averages have been bouncing back and forth across the unchanged line, unable to sustain any significant moves.
While the Commerce Department released a report on Friday showing a modest increase in new home sales in the U.S. in the month of September, the uptick came from a significantly downwardly revised level in August.
Automaker Ford Motor Co. on Friday reported a 34 percent decline in profit for the third quarter from last year, reflecting lower revenue and volume. This includes lower profit in North America due to higher warranty costs and lower volume. However, adjusted earnings per share for the quarter beat analysts' estimates. Ford affirmed its pre-tax profit guidance for fiscal 2014 and 2015.
Consumer goods giant Colgate-Palmolive Co. Friday reported a decline in the third-quarter profit, amid flat sales and lower margins. Organic sales grew 3.5 percent, with growth across all operating divisions. Adjusted earnings matched analysts' estimates.
Package delivery giant United Parcel Service, Inc. reported Friday a profit for the third quarter that grew 11 percent from last year, reflecting revenue growth amid improvements across operational segments. Earnings per share and quarterly revenues topped analysts' expectations. The company also reaffirmed its earnings guidance for the full-year 2014.
Following the rally seen in the previous session, stocks may give back some ground in early trading on Friday. The major index futures are currently pointing to a lower open for the markets, with the Dow futures down by 38 points.
The terrorist group known as the Islamic State in Iraq and the Levant (ISIL) is earning about $1 million each day by smuggling oil out of the Middle East, according to the US Treasury Department. Speaking at the Carnegie Endowment for International Peace on Thursday, Under Secretary for Terrorism and Financial Intelligence David Cohen said "ISIL has raised a significant amount of its money - many
Consumer goods giant Procter & Gamble Co. reported Friday a profit for the first quarter that declined 34 percent from last year, hurt by goodwill impairment charges and a revenue decline. Core earnings per share matched analysts' expectations, while quarterly sales missed their estimates. The company reaffirmed core earnings and organic sales growth guidance for the full-year 2015.
Drugmaker Bristol-Myers Squibb Co. (BMY) Friday said third-quarter profit increased from the previous year, even as revenues declined due to the divested Diabetes alliance. Adjusted earnings topped estimates, and the company backed its full year adjusted earnings forecast.
Dutch chemicals and polymers maker LyondellBasell Industries N.V. Friday reported higher third-quarter profit, reflecting mainly increased earnings in Olefins and Polyolefins - Americas segment. Sales and other operating revenues grew from last year. Earnings per share, as well as revenues beat analysts' estimates.
Trading in the U.S. index futures show that Wall Street stocks may open Friday's session lower after yesterday's rebound. Reports of a New York physician contracting the ebola virus could be sentimentally negative for stocks as the economy traverses an uncertain recovery path. Stocks in the domestic markets may also focus on earnings releases and an economic data on new home sales.
The U.K. economy grew at a slower pace in the third quarter in the face of rising uncertainty stemming from global economic conditions, preliminary estimates from the Office for National Statistics Office showed Friday. Gross domestic product climbed 0.7 percent from the second quarter, when it grew 0.9 percent.
German consumer climate is set to improve slightly in November, ending the downward trend, as income expectations among households strengthened on the back of the strong labor market situation, survey data revealed Friday.The forward-looking consumer confidence index rose slightly to 8.5 in November from 8.4 in October.
Swedish automaker Volvo AB (VOLVY.PK) Friday said its third-quarter profit increased from the prior year, amid a modest rise in sales. Further, the firm increased its cost-cutting target, adding it would take some of these charges in the fourth quarter. In early morning trade, the stock was trading up 10.1 percent.
French industrial and medical gases maker Air Liquide SA Friday said its third-quarter revenue edged up 1 percent, amid good momentum in the Americas and Asia-Pacific. The company, however, witnessed slowdown in Western European manufacturing. On a comparable basis, revenues grew 4.3 percent.