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Futures Suggest Wall Street To Open Lower

wallstreet aug07 lt

Worldwide infection of COVID-19 crossed 19 million and the U.S. is reaching five million cases. The death toll is expected to reach 300,000 by December, doubling from the current 160,000. The market trends are highly influenced by the rising cases of coronavirus.

Monthly Jobs report and earnings news might get much attention on Friday
Initial signs from the U.S. Futures Index suggest that Wall Street might open lower.

Asian shares finished mixed, while European shares are sliding.

As of 8.00 am ET, the Dow futures were declining 147.00 points, the S&P 500 futures were down 15.75 points and the Nasdaq 100 futures were sliding 52.00 points.

The U.S. major averages closed positive on Thursday. The Nasdaq surged up 109.67 points or 1 percent to 11,108.07, the Dow advanced 185.46 points or 0.7 percent to 27,386.98 and the S&P 500 climbed 21.39 points or 0.6 percent to 3,349.16.

On the economic front, the Labor Department's Employment Situation for July will be issued at 8.30 am ET. The consensus is for an increase of 1,675,000 much lower that the previous non-farm payrolls of 4,800,000 in June. The unemployment rate is expected to be up 10.5 percent, while it was up 11.1 percent in the prior month.

The Department of Commerce's Wholesale Trade for June will be released at 10.00 am ET. The consensus is for a decline of 2.0 percent, while it was down 1.2 percent in the previous month.
Baker-Hughes Rig Count for the week is scheduled at 1.00 pm ET. In the prior week, the North American Rig Count was 296 and U.S. Rig Count was 251.
Consumer Credit for June will be issued at 3.00 pm ET. The consensus is for growth of $8.6 billion, while it was down $18.2 billion.

In the corporate sector, DISH Network Corp. reported an increase in second-quarter net profit from last year, despite a small revenue drop. Earnings per share and quarterly revenues also topped estimates.

Net income for the quarter was $452 million or $0.78 per share, up from $317 million or $0.60 per share in the prior-year quarter.

Revenue for the quarter declined to $3.19 billion from $3.21 billion in the same quarter last year. Analysts expected revenue of $3.10 billion for the quarter.

Asian stocks fell broadly on Friday. Chinese shares fell as a further escalation in U.S.-China tensions overshadowed upbeat export data. The benchmark Shanghai Composite index gave up 32.43 points, or 0.96 percent, to end at 3,354.04, while Hong Kong's Hang Seng index ended down as much as 1.60 percent at 24,531.62.

China's exports grew 7.2 percent on a yearly basis in July. At the same time, imports dropped 1.4 percent from a year earlier.

Japanese shares ended lower. The Nikkei average slid 88.21 points, or 0.39 percent, to 22,329.94, while the broader Topix index closed 0.20 percent lower at 1,546.74 ahead of a long weekend. Japan stock markets will be closed on Monday for a public holiday.

Australian markets declined as heightened coronavirus-induced restrictions in Melbourne. The Reserve Bank of Australia has warned the jobs market will take longer to recover. The benchmark S&P/ASX 200 index dropped 37.40 points, or 0.62 percent, to 6,004.80, while the broader All Ordinaries index ended down 35.40 points, or 0.57 percent, at 6,144.90.

European shares are trading mostly lower. Among the major indexes in the region, the CAC 40 Index of France is declining 13.70 points or 0.28 percent. The German DAX is gaining 11.21 points or 0.09 percent, the U.K. FTSE 100 Index is sliding 2.33 points or 0.04 percent.

The Swiss Market Index is adding 25.39 points or 0.26 percent.

The Euro Stoxx 50 Index, which is a compilation of 50 blue chip stocks across the euro area, is down 0.60 percent.

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